The Russian government has approved a temporal increase of export duty for ferrous scrap and metals as well as non-ferrous metals sold outside the Eurasian Economic Union (EAEU), Davis Index has learned.
Russian Prime Minister, Mikhail Mishustin, signed and published decree No. 977 on Jun 25, which lifted the export duty for ferrous scrap to 5pc, but no lower than €70/mt. The duty will be enforced in 30 days and will be valid for 180 days. The current export duty in Russia is 5pc, but no lower than €45/mt.
He also signed and published decree No. 988 on the same day, imposing export duties on a wide range of ferrous and non-ferrous metals from August 1 to December 31, 2021. According to the document seen by Davis Index, the duty’s base rate will be 15pc, but the minimum level is set specifically for each product.
The Russian government intends to control prices in the domestic market, following a surge in commodities this year on global market cues that posed a risk towards the completion of construction and infrastructure projects in Russia.
These export duties were supported by the Ministry of Economic Development, the Ministry of Finance and the Ministry of Industry and Trade of the Russian Federation.
Russia’s new export duties
|Product||duty’s base rate||min. duty|
|Pellet, iron ore concentrate||15pc||$54/mt|
|HR flats, rebar, billet, pig iron||15pc||$115/mt|
|CR flats, wire rod||15pc||$133/mt|
|Stainless steel, Fe alloys||15pc||$150/mt|