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Russia & Ukraine May Impose Tax on Steel Exports

  • Friday, June 25, 2021
  • Source:ferro-alloys.com

  • Keywords:steel,nickel,aluminium,cooper
[Fellow]Russia is preparing new export taxes for steel products, nickel, aluminium and copper

[Ferro-Alloys.com]Reuters reported that Russia is preparing new export taxes for steel products, nickel, aluminium and copper which will cost their producers USD 2.3 billion between August 1 and December 31 as it wants to protect its defence and construction industries from further growth in raw materials costs as prices for metals rise at a global level. Russia’s First Deputy Prime Minister Mr Andrei Belousov said “Our economy is not ready for the kind of avalanche-like shock transfer of global prices to the domestic market that we have seen over the past year. The increase in domestic prices for certain metals ranged from 60% to 100%. Taxing ferrous metals such as steel will bring in 114 billion roubles (USD 1.6 billion), and base metals such as nickel and aluminium 50 billion roubles. That represents 20-25% of the excessive income firms will get from a favourable market.”

Metal Bulletin separately reported that a group of Ukrainian parliamentarians have proposed a tax on excess profits from the export of commodities including iron ore, non-ferrous metals, ferrous scrap and rebar etc. A set of draft laws published by Ukraine’s parliament Verkhovna Rada on June 16 suggests changes to the country’s tax, customs and budgetary codes. These draft laws would mean that taxes would be imposed when there is profit received by a business entity taking advantage of a favorable market situation, or a significant price increase on domestic market
 
If such measures are implemented, the current elevated global steel export prices may further strengthen
 
source:SteelGuru Business News
 
  • [Editor:李慧]

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