Russia, EU to agree on new quota for steel

Maksim Medvedkov, the head of the Russian Economic Development and Trade Ministry's trade negotiations department said yesterday that Russia and the European Union plan to extend an agreement on steel trade. Although the negotiations are not finished yet, Mr. Medvedkov said that the new agreement projects ’reasonable increase of a quota on Russian steel exports to the EU countries'. So far, the increase of 13 percent for overall Russian quota on steel exports is discussed, including possible rise of 11 percent for flat rolled products and of 12 percent for long products. The total quota for Russian steel export to the EU countries is 2.27 million tons for 2006. Mr. Medvedkov also pointed out that as soon as Russia joins the WTO, the term of agreement will expire and all quotas will be lifted.