The Russian government has decided to extend the quota restriction on the exports of ferrous scrap and waste outside the Eurasian Economic Union until the end of 2022. According to the new resolution, the quota will be 1.35 million tonnes. If the export volume is in the quota amount, the duty will be 5% per tonne, but not less than EUR 100 per tonne. If exceeding the quota limit, a duty of 5%, but not less than EUR 290 per tonne will be imposed.The latest decision is intended to secure the needs of local steel producers and to restrict excessive steel scrap exports to destinations not friendly to or not supportive of Putin’s regime. Moreover, the Russian authorities believe that the restriction will result in lower scrap prices in Russia and will consequently soften mills’ production costs and therefore the prices for steel products will decline. Lower finished steel product prices will support infrastructure projects.In 2021, the Russian government introduced temporary export duties for ferrous and non-ferrous metals amid growing prices on global markets. That helped mitigate the impact of external market conditions on the domestic market situation, adjust commodity prices and ensure the continued implementation of large infratstructure projects.
The Russian government has decided to extend the quota restriction on the exports of ferrous scrap and waste outside the Eurasian Economic Union until the end of 2022. According to the new resolution, the quota will be 1.35 million tonnes. If the export volume is in the quota amount, the duty will be 5% per tonne, but not less than EUR 100 per tonne. If exceeding the quota limit, a duty of 5%, but not less than EUR 290 per tonne will be imposed.The latest decision is intended to secure the needs of local steel producers and to restrict excessive steel scrap exports to destinations not friendly to or not supportive of Putin’s regime. Moreover, the Russian authorities believe that the restriction will result in lower scrap prices in Russia and will consequently soften mills’ production costs and therefore the prices for steel products will decline. Lower finished steel product prices will support infrastructure projects.In 2021, the Russian government introduced temporary export duties for ferrous and non-ferrous metals amid growing prices on global markets. That helped mitigate the impact of external market conditions on the domestic market situation, adjust commodity prices and ensure the continued implementation of large infratstructure projects.
