Ukraine, in view of the falling volumes of car production, has joined in consultations initiated by the European Union in the frames of the World Trade Organization (WTO) regarding the introduction and action of the recycling tax on Russian cars, Economic Development and Trade Minister Ihor Prasolov has said.
“We, as a country that sticks to WTO rules, and using all possible legal methods, protect the interests of our commodity producers, our car industry, and are no doubt interested in resolving this issue as soon as possible, for our cars to have access to the markets of Russia, Belarus, and Kazakhstan,” he told the journalists in Kyiv on Thursday.
The minister noted that in the first five months of 2013 the production of cars, trucks and buses in Ukraine had fallen between 61% and 43%. According to him, such a fall was caused by the introduction of the recycling tax in Ukraine.
As reported, the law on the introduction of a 30% vehicle recycling tax took effect in Russia on September 1, 2012. According to the law, the tax will be paid on every vehicle imported to Russia, with the aim of protecting the environment.
According to the WTO Web site, on July 9, the EU passed an inquiry for consulting with Russia because of the damage caused by the decision on the recycling tax.
The United States China, Japan and Turkey have also officially stated their intention to join in the consultations with Russia.
Ukraine, in turn, also received complaints from the EU, Turkey, South Korea, and Japan because of the introduced from April 14, 2013 of its own special tax on the import of new cars to Ukraine.
