- by admin - Mon, 05/09/2022 - 04:17
Today, the European Commission offered to delay import duties on all Ukrainian export to the European Union for one year. This proposal, which is an unprecedented gesture of support for the country in a state of war, also provides for the suspension of all EU anti-dumping and protective measures on Ukrainian steel export for the same period.
This far-reaching step is designed to help increase Ukraine's export to the EU. This will help to make easier the plight of Ukrainian producers and exporters in the face of Russia's military invasion.
European Commission President Ursula von der Leyen said: “Russia's unprovoked and unjustified aggression is causing significant damage to the Ukrainian economy. I am discussing with President Zelenskyy ways to support the Ukrainian economy, in addition to the macro-financial assistance and grants we provide. We both agree on the critical importance of the rapid and complete delay of import duties in order to stimulate Ukraine's economy. The step we are taking today is a response to this challenge. This will greatly facilitate the export of Ukrainian industrial and agricultural goods to the EU. We continue to support Ukraine in these difficult times.”
Valdis Dombrovskis, Vice-President of the European Commission and Commissioner for Trade, said: “The EU has never before taken such unprecedented measures to liberalize trade as providing Ukraine with zero tariffs, zero quotas in the EU market. Since the beginning of Russia's aggression, the EU has given priority to supporting Ukraine's economy, which is crucial both to help it win the war and to raise after the war. These measures will directly help Ukrainian producers and exporters. They will add confidence to the Ukrainian economy and send a strong signal that the EU will do everything possible to help Ukraine in an emergency.”
Besides the fact that Russian military aggression lead to deaths and a huge displacement of innocent peaceful citizens in Ukraine, it is also destroying Ukraine's economy and its ability to trade with the rest of the world due to severe impacts on production capacity and vital export routes. In this difficult context, the EU wants to do as much as possible to help Ukraine maintain its trade position with the rest of the world and deepen trade relations with the EU.
The EU is also taking measures on the ground to facilitate the transport of goods by land and to ensure that Ukrainian products have physical access to the world. For example, the EU Commission has already begun liberalizing conditions for Ukrainian truck drivers transporting goods between Ukraine and the EU, as well as facilitating transit and using EU infrastructure to direct Ukrainian export to third countries. These measures will give Ukrainian producers the necessary flexibility and confidence.
Additional information
In 2021, thanks to an ambitious Deep and Comprehensive Free Trade Agreement, bilateral trade between the EU and Ukraine has reached its highest level since its entry into force (more than € 52 billion, twice the amount of trade before the DCFTA in 2016 was launched). As a result of the Russian invasion, the Ukrainian economy and its trade with the world have suffered greatly. Along with a number of measures in various areas that the EU has taken to support Ukraine, starting from imposing sanctions on Russia to financing military aid, these trade measures will strengthen EU economic aid to Ukraine and keep it open to the world as it faces Russian aggression. The last EU-Ukraine summit (October 12, 2021) reflected a number of positive ongoing processes, such as the start of the revision of Article 29 on further trade liberalization.
Next steps
This proposal should be considered and approved by the European Parliament and the Council of the European Union.
Reference source: EU Delegation to Ukraine