On March 1, new rules for taxi transport came into force in Russia, banning drivers from buying just any car they choose for work. Fleet expansion is now limited to vehicles included in a special state register. The localization law, which had been stalled for a long time, moved quickly through the State Duma in the spring of 2025 and was signed by Vladimir Putin after an AvtoVAZ worker publicly asked him to support demand for Lada models.
Business associations and economists warned that the consequences would be severe: higher fares, job losses for tens of thousands of drivers, and a drop in tax revenue of up to 350 billion rubles. The law is not taking effect everywhere at once: the transition period runs until March 1, 2028 in the Kaliningrad region and the Siberian Federal District, and until March 1, 2030 in the Far East.
In practice, new purchases are now limited to a narrow list of 22 models from six brands: Lada, UAZ, Sollers, Moskvich, and Russian-assembled Evolute and Voyah vehicles. Cars already in service may continue operating as long as they remain roadworthy. Market participants say the list includes models rarely used in urban taxi service, including some Lada and UAZ SUVs, while widely used Haval and Tenet cars are absent, though the Industry and Trade Ministry has promised revisions.
The rules for self-employed drivers have also drawn criticism. They are allowed until 2033 to register cars that do not meet localization-score requirements, but such vehicles are not supposed to exceed 25% of a region’s taxi fleet. Industry sources say that threshold has already been surpassed in practice. Another issue is the self-employed income cap of 2.4 million rubles: taxi drivers interviewed by the publication said that, at 2026 prices, with high borrowing costs and expensive new cars, that amount is not enough to support a family and replace a vehicle.
Sources cited by Novaya Gazeta Europe say taxi fares in 2026 may rise by 25–30% under an optimistic scenario and by as much as 50% under a worse one. They link this to the disappearance of earlier low-cost models such as Skoda, Volkswagen, Kia, and Renault, the higher price of Chinese cars, expensive loans, spare-parts problems, rising fuel prices, and a higher vehicle disposal fee. In their view, some fleets may shut down, while part of the market may move into the gray economy, reducing safety for both passengers and drivers.