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Image header Agence Europe
Europe Daily Bulletin No. 9786
Contents Publication in full By article 26 / 34
GENERAL NEWS / (eu) eu/trade

Moscow builds new protectionist barriers

Brussels, 19/11/2008 (Agence Europe) - Two days after Russian President Dmitri Medvedev committed his country to "reject protectionism” and "abstain from erecting new barriers to investment and trade in goods and services over the next 12 months" by signing the joint declaration of the leaders of the G20 (EUROPE 9784), the Russian government threw a dampener on things on Tuesday 18 November, by announcing the adoption of new protectionist measures. After the announcement by Agriculture Minister Alexeï Gordeïev of a reduction in import quotas for poultry and pork in 2009 to support national agriculture, Deputy Finance Minister Dmitry Pankin confirmed the increase from 25% to 30% in customs duty on foreign cars, in order to support the national car manufacturer Avtovaz. Furthermore, the age from which second-hand cars are taxed on import has been dropped from seven years to five years, a measure which will deprive Russian consumers of bargains in the name of national preference. The spokesperson to European Trade Commissioner Catherine Ashton, Peter Power, immediately spoke out against the decision. "Such a move would be contrary to the spirit of the G20 declaration, and it would not help the WTO accession process which has just gained momentum following the recent EU-Russia summit", he said. (E.H./transl.fl)

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