Ukraine has abolished the free trade regime with Russia

Moscow. January 2. From 2 January 2016 to all products originating from Russia will apply the preferential rates of import duty established by Customs tariff of Ukraine, preferential treatment towards Russia (free trade) is repealed, reports the website of the Cabinet of Ministers of Ukraine.

These measures are introduced for a period of one year in accordance with the decree of the Cabinet of Ministers of Ukraine from December 30, 2015 No. 1146. As noted, this measure was adopted by the government “in order to protect economic interests and security of Ukraine, restoration of violated rights, freedoms and legitimate interests of Ukrainian citizens, society and the state resulting from the action of the aggressor – the Russian Federation, which limit the realization of the legitimate rights and interests of subjects of foreign economic activity of Ukraine”, and in response to the suspension by Russia of the Treaty on free trade zone from 18 October 2011 to Ukraine, the report says the government.

According to the decree, the decision of the government of Ukraine “expires December 31, 2016 or after the termination of violations by the Russian Federation of the Treaty” on free trade zone dated 18 October 2011.

As pointed out in comments by the Deputy Minister of economic development and trade of Ukraine – sales representative of Ukraine Natalia Nikolskaya, the government will continue to defend the interests of Ukraine and consistently to protect Ukrainian producers on foreign and domestic markets.

Russia suspended the Treaty on the free trade area (FTA) with Ukraine on 1 January. This decision of government is based on the fact that from 1 January 2016 entered into force, the agreement on FTA between Ukraine and the European Union, and thus have not been adopted, legally binding agreement that relieves Russian concerns.

The decision to resume Russia the term of this contract shall be made by the President of the Russian Federation. Vladimir Putin issued a decree on 30 December has already made an exception for the export duties on gas, partly preserving it as a FTA. The decree, which makes the exception, it is said that we are talking about “exporting natural gas in gaseous state”.

In addition, the Russian Federation from January 1, extends the food embargo on Ukraine. It is stipulated by the government decree from 21 December 2015 about the spread on Ukraine’s economic retaliation in connection with her joining the anti-Russian sanctions.