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'Cash for Clunkers' off to Slow Start

The first month of the government's cash-for-clunkers program has seen 15,688 new cars purchased, far short of the 55,000 who have traded in their old cars to get their certificates, the Industry and Trade Ministry said Tuesday.

In total, the program will offer 200,000 certificates, entitling the bearer to 50,000 rubles ($1,700) off the purchase of certain cars, but certificates may run out before the program's scheduled end on Nov. 1.

So far, AvtoVAZ has been the biggest beneficiary of the program, supplying almost 80 percent of the cars purchased through the program.

In fact, the company is running out of its classic Lada Zhiguli, one of the make's budget models, and customers are having to wait in line to get their hands on one. "You have to order [the car] and wait two to four months," company spokesman Igor Burenkov told reporters Tuesday.

AvtoVAZ has received 110,000 requests for Ladas through the cash-for-clunkers program. The company said last week that it was boosting production of its cheapest models by 5.9 percent in April.

The plant expects to make 42,702 cars this month.

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