The Russian government has announced that the duties related to the ruble-US dollar exchange rate on thermal and coking coal exports have been lifted. The duties between four percent and seven percent depending on the ruble-dollar exchange rate were introduced in October last year to protect the local market from increases in prices had been expected to last until the end of 2024. It is noteworthy that the duty was going to be automatically nullified if the ruble reached 80 to the dollar. When the duties were introduced, some sources believed that the move was intended to raise revenues to finance Russia’s military actions in Ukraine.
According to local media reports, the lifting of the duties may help Russian coal producers to save up to $1.5 billion per year and increase profits.
The duty was applicable to the products like steel slab, billet, most long and flat steel products, pig iron, coal and coke, HBI and iron ore, as SteelOrbis previously reported.
$1 = RUB 88.1