The MAYOR of the Russian Federation: Putin’s decree on free trade with Ukraine means customs duties

The MAYOR of the Russian Federation: Putin’s decree on free trade with Ukraine means customs duties


Rupture of the agreement on free trade zone of the CIS with Ukraine means for the introduction from January 1 of the most favored.

MOSCOW, 16 Dec. The decree of the President of Russia Vladimir Putin about the suspension from 1 January 2016 to the Treaty on the free trade zone of the CIS in Ukraine means for the introduction of Ukraine duties on most favoured nation treatment, said the first Deputy Minister of economic development Alexey Likhachev.

“Yes, of course”, he replied to a question about whether there is a rupture of the agreement on FTA with Ukraine, the introduction of MFN on 1 January.

The Likhachev said that talks with Ukraine and EU on implementation of the economic part of the Association agreement between Kyiv and Brussels, scheduled for December 21, until cancelled. “We are ready to work. And then we are ready to work and after 1 January. If only steps were taken to meet”, — said the first Deputy MAYOR.

Last week the President of Russia Ulyukayev instructed to continue tripartite consultations on the FTA between Ukraine and the EU “in the hope that it will be possible to reach agreement before January 1, 2016”. Later the MAYOR said that Ulyukayev will take part in the tripartite negotiations on Association of Ukraine and EU on 21 December in Brussels.

Earlier, Russia also planned for Ukraine customs duties (to the extent corresponding to the most favoured nation treatment). However, according to Russian authorities, it was supposed to be done simultaneously with the launch of Ukraine and the EU for its free trade zone, to avoid the influx of duty-free goods from the EU through Ukrainian territory. Kyiv and Brussels are planning to implement the FTA from 1 January 2016. The next trilateral Ministerial meeting on this issue took place on 1 December, however, the parties were unable to agree.