Russia has shown a steady increase in demand for vehicles during the opening months of 2006.

According to research by analysts at Research and Consultancy Outsourcing Services (RNCOS), Russia has continued to show an annual growth rate in demand of five to seven per cent.

The growth is the same as that seen last year, and RNCOS says it expects that growth to continue.

It further expects annual car sales to exceed 2.33 million by 2014, which would represent an increase of the 2004 figure by 1.5 fold.

The continuing growth is mainly down to a high demand for foreign car models. The report by RNCOS expects demand for domestically made vehicles to remain flat until the end of the decade.

More widespread car ownership is driving the rising demand, with ownership having seen a 360 per cent leap over the past decade. A total of 178 vehicles are owned in Russia for every 1,000 people.

Ÿ Adfero Ltd