Ukraine introduces more trade sanctions to Russia and Crimea

This article discusses recent tensions between #Russia and Ukraine, which resulted in application of mutual #trade restrictions.

Visit our website if you are interested in the #Ukrainian economy or #doing business in Ukraine.

Trade war between the Russian Federation and Ukraine continues. In addition to mutual implementation of import duties and trade embargoes on certain types of goods, Ukraine announced that more than 70 additional products of Russian origin will be banned from import to Ukraine.

Ukrainian sanctions will mainly apply to various Russian foodstuffs and similar goods, such as vegetables, fruits, ketchups, sauces, fish, confectionaries, etc.

We note that during 2015 Russia and Ukraine were applying various trade sanctions to each other in relation to certain categories of products, bilateral cooperation agreements in various fields, air traffic, etc. Due to launching of the EU-Ukrainian free trade zone, the Russian Federation has unilaterally terminated the Ukraine-Russia free trade zone as of 1 January 2016 and introduced import duties and embargoes on many Ukrainian goods. Ukraine responded with the similar counter measures.

In addition, the Resolution of the Cabinet of Ministers of Ukraine came into force, which provides for prohibition of supply of goods to and rendering of services in the temporary occupied Crimean peninsula. Thus, as of 17 January 2016 any trade with Crimea is suspended. However, there are certain exceptions to which the ban is not applicable, namely personal belongings of citizens, humanitarian aid, electricity supply, and socially important food products with the total invoice value of less than the equivalent of UAH 10 000 and with the total weight of less than 50 kilograms per one person. Moreover, the person transporting food products to Crimea is not allowed to cross the border more than once per day.

Shortly after the respective resolution came into force, the activists, who are mainly Crimean Tatars, removed their roadblocks blocking land transport to Crimea. However, as the leader of the blockade announced, some of them will remain at the Ukraine-Crimea border to observe implementation of the resolution of the Cabinet of Ministers.

Be the first to comment

Leave a Reply

Your email address will not be published.


*