Ukrainian president Petro Poroshenko has vetoed the draft law to increase Ukraine’s export duty on scrap to €30/mt from €10/mt aimed at reducing the deficit of scrap in the domestic market, according to president’s press service.
President Poroshenko suggested that the duty should be applied just for a period of the calendar year at the rate of €30/mt, instead of for three years which was originally suggested in the draft law.
The president also stated that the duty is not in compliance with the provisions of the association agreement between Ukraine and the European Union ratified on September 16, 2014. The agreement obliges the parties not to introduce or maintain any duties, taxes or any other measures of equivalent actions that are imposed on the export of goods or imposed in connection with exportation of goods to another territory.
Ukraine’s cabinet of ministers has now one month to make the necessary adaptations to the law in line with the president’s suggestions.