The Subcommission for Customs Tariff & Non-Tariff Regulation and Protective Measures in the Foreign Trade Extended the Terms of Temporary Importation and Tariff Preferences for Certain Types of Medium-Range Turbojet Passenger Aircrafts
September 20, 2017 saw the regular meeting of the Subcommission on Customs Tariff & Non-Tariff Regulation and Protective Measures in the Foreign Trade of the Government Commission for Economic Development & Integration, which was chaired by the Russian Minister of Economic Development Maksim Oreshkin.
The Subcommission adopted a number of resolutions aimed at stimulating economic growth, reducing the costs of import/export transactions, and supporting certain industries and sectors of the economy.
It has been found reasonable to extend the terms of temporary importation and tariff preferences for certain types of medium-range turbojet passenger aircrafts from December 31, 2017 until December 31, 2019. In addition, the operating limit for medium-range turbojet passenger aircrafts under the customs procedure of temporary importation has been extended from 5 to 8 years, with full conditional exemption from payment of customs duties and taxes.
To support the domestic watch industry, the Subcommission has decided to zero the rates of import duties on cases for watches intended for wearing on oneself or with oneself, dials and other watch parts, and to reduce customs duties down to 5% for watch bands, straps, bracelets, springs, plates, bridges and stones, on a temporary basis for a period of 2 years. This decision will support the watch manufacturers by reducing their expenses.
At the request of the Governor of the Kaluga Region, a decision has been made to abolish the rate of import duty for aluminum filters used to produce household kitchen hoods for a period of 2 years, with segregation of the said commodity into a separate subheading. This measure will stimulate the domestic production of household kitchen hoods.
The proposal of the Republic of Belarus to segregate a separate subheading for magnetrons used in microwave oven production and to set a zero rate of import duties for this commodity until December 31, 2019 has been supported. In accordance with Russia’s obligations under the WTO, the current rate is 8%. The decision will lead to an increase in the manufacture of microwave ovens and a decrease in their import to the EAEU.
Another proposal of the Republic of Belarus to extend the zero import duty rate for certain types of diesel engines for the period of one year has been approved. This decision will reduce the prime cost of production of BelAZ dump trucks with 50 to 450 tons carrying capacity, which will boost their competitiveness both in the domestic and foreign markets. The current rate is 5%, but a zero rate of import duties is effective from September 30, 2014 until September 30, 2017.
The Subcommission has also found it expedient to introduce the six-month permissive procedure for importation of fodder lysine into Russia from non-EAEU states. Due to the high growth rates in Russian poultry and pig production, the consumption of essential amino acids, including fodder lysine, has been annually growing over the last years. The current rate is 5%. Experts estimate that domestic production can meet 44.4% of the demand for fodder lysine, while 55.6% can be met through import supplies.