Tens of thousands of cars stuck at the Russian border

At the border crossings into Russia, thousands of trucks are loaded with cars. Most of them are backed up at the Kazakh border, where the route from China enters Russia. Industry representatives describe a situation that is getting worse by the day.

The sector’s own estimates point to between 3,000 and 4,000 semi-trailers, each carrying up to ten cars. This equates to tens of thousands of vehicles that are not making it into the country.

Some sources estimate that the total queue across the borders with China, Kazakhstan and Kyrgyzstan is approaching 4,000 trucks, while others in the transportation sector speak of up to 7,500 vehicles in the wider region.

Waiting times at the border have increased by more than a third since October, people in the Russian car trade industry told The Moscow Times. The queues have also created a gray market for “paid queues”, where a place in line is sold via special bots and unofficial intermediaries.

Several of the crossings where private individuals clear imported cars through customs are particularly hard hit. Car transporters stand still for days, and some drivers choose to leave their vehicles behind and walk the last few kilometers to the border post.

New recycling tax speeds up imports

The pressure at the borders is primarily due to a change in the Russian recycling tax on cars. The tax was introduced last year as a one-off payment to cover the future scrapping of the vehicle, but come December, new and stricter rules come into force.

The current special scheme will disappear for most models. In future, the tax will be linked to engine power on a progressive scale, and the low rate will only apply to cars with up to 160 horsepower.

Importers and private buyers are therefore trying to get cars into the country and through customs before the calendar flips to December.

According to Russian car dealers, buyers who have already paid for their cars risk an extra bill if they do not make it through customs in time. If the purchase is made before December 1st, but the car is not approved until after that date, the tax will be calculated under the new rules.

The average price of a new car in Russia reached a record level in October. The average amount has risen by 3.5 percent compared to the same time last year and by about 60 percent since 2021, according to figures from the Russian research agency Autostat.

Many consumers are rushing to buy now for fear of even higher prices.

Tighter controls, sanctions and rising fuel prices

The queues at the borders are not just about the Russian recycling tax, however. In recent months, Kazakhstan has tightened controls on trucks carrying sensitive goods with both civilian and military applications – such as electronics, drone components and Western brands – on their way to Russia.

Authorities in the country want to prevent goods that could breach sanctions from crossing the border unhindered.

Russian and Kazakh media report that up to 99 percent of the most sensitive cargo now receives extra thorough checks.

Shippers speak of a new normal with longer queues and a greater administrative burden, while some analysts see it as a classic trade dispute between two neighbors trying to find a new balance.

At the same time, Russia is grappling with the consequences of drone strikes against its oil refineries and periodic fuel export restrictions which means prices have skyrocketed.

Several neighboring countries are now trying to diversify their energy supply and forge closer ties with the West. Kazakhstan has signed a major locomotive deal with the US worth around 27 billion dollars, while the country still has to take into account Russia, which remains a key trading partner.