The European Union has just announced new sanctions that will stop the export of any vehicle worth more than 50,000 euros ($54,760) to Russia. The sanctions came down along with a number of other measures aimed directly at high-ranking and wealthy Russian officials and oligarchs. Ultimately, though, it could also speed up delivery to quite a number of other customers who are waiting on some of the most special cars on the planet.
European Commission President Ursula von der Leyen said on Friday: “Those who sustain Putin’s war machine should no longer be able to enjoy their lavish lifestyle while bombs fall on innocent people in Ukraine.”
The ban will directly affect the bottom line of brands like Lamborghini, Ferrari, and Pagani. Despite the incredibly low value of the ruble, many wealthy individuals in Russia own fancy Italian supercars from the brands mentioned above. Just last week, Lamborghini and Ferrari suspended business with Russia and donated funds towards humanitarian efforts in light of the crisis.
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This sanction will take the choice away from automakers and require that none of them ship vehicles to Russia. What’s important to note is that it’ll affect far more than just the most expensive four-wheeled toys. Mercedes Benz, Alfa Romeo, BMW, and more are all going to lose some revenue that could’ve come from Russian buyers.
At the same time, for some brands, this might end up helping them clear a large backlog. Lamborghini and Ferrari as well as other exclusive brands benefit from a waiting list but the chip shortage has hit everyone. Even Rimac has complained about it.
“Given a strong order backlog for all the premium brands, I would expect any lost exports to Russia would be redirected to other markets,” Bloomberg Intelligence analyst Michael Dean said.
So perhaps this isn’t all bad news if you’re waiting around on a supercar or other vehicle from one of these European brands. There’s a chance it shows up much earlier than initially promised. Cars aren’t the only part of the ban either. Boats, planes, motorbikes, and… chairlifts…(yes, really) that cost more than 5,000 euros are also included in the sanctions.
