Russia to take measures against imported pipes

Late last week, Galina Balandina, Director of Department of State Regulation of External Trade of the Ministry of Economic Development and Trade of Russia (MEDT) announced that the MEDT recommends the imposition of 8 percent special duty on imported pipes with large diameter (larger than 508 mm) regardless the origin of the pipes. This special duty is to be imposed on top of already existing duties. The resolution was sent to the Ministry of Energy, the Ministry of Finance and the Federal Antimonopoly Service for approval. The decision on imposition of the special duty would especially hurt Ukrainian producers of pipes with large diameter, which until now enjoyed the duty-free trade regardless the fact that the agreement on duty-free trade on pipes between Russia and Ukraine expired at the end of 2004 and was not prolonged on the initiative of Ukrainian side. Russian Fund of Development of Pipe Industry (FRTP) already expressed its support to the MEDT's decision.