SynopsisAs of September 30th, 2023, the Department for Business & Trade and the European Union have amplified sanctions against Russian goods, particularly targeting iron and steel products. Imports of iron and steel materials of Russian origin are now strictly prohibited. This article provides insights into the extended sanctions, their implications on importers, and the measures being taken by the UK and EU authorities.ArticleSince March 2022, sanctions on Russian goods have been incrementally imposed. These sanctions have already banned the direct and indirect import of various commodities, including oil, coal, liquefied natural gas, and certain processed gold. Additionally, goods from Russian-occupied territories in Ukraine have faced restrictions.Starting on September 30th, 2023, the Department for Business & Trade and the European Union have intensified and extended sanctions, particularly concerning iron and steel products. Any iron or steel product or material of Russian origin listed in Schedule 3B of the Russia Sanctions Regulations is now prohibited from importation.Both the UK and EU have provided guidance on the obligations for importers and supply chains:Importers are typically required to provide evidence of the 'country of origin' for iron and steel inputs used in processing products in third countries.A 'Mill Test Certificate' may be considered sufficient evidence by DBT.Customs authorities will scrutinize the presentation of relevant documents and may request further evidence.Failure to provide the required documentation can result in imports not clearing Customs, with possible enforcement actions against importers for violating sanctions rules.HMRC (Her Majesty's Revenue and Customs) is expected to adopt a consistent approach starting September 30th. Discrepancies in its approach are not anticipated.In EU member states, variations are expected in how each country applies the new rules due to the phased approach of EU sanctions and local political reactions.UK Steel has been a staunch supporter of extending sanctions on Russian iron and steel inputs. The concern lies in the circumvention of Russian inputs through third countries, posing an economic threat to UK steel products, especially with potential 'market dumping.'The UK Government's new sanctions regime aims to close these loopholes and enhance the competitiveness of British steel in the face of Russian actions in Ukraine. Make UK will collaborate with the Department for Business and Trade, the Government, and its members to ensure proper implementation of the new measures and provide guidance and clarity to members.ConclusionThe strengthened sanctions on Russian iron and steel imports represent a significant development in trade relations. These measures seek to fortify British steel's position in the face of economic challenges posed by circumvention tactics involving Russian materials. Importers and supply chains must adhere to the new regulations, backed by stringent customs enforcement.
SynopsisAs of September 30th, 2023, the Department for Business & Trade and the European Union have amplified sanctions against Russian goods, particularly targeting iron and steel products. Imports of iron and steel materials of Russian origin are now strictly prohibited. This article provides insights into the extended sanctions, their implications on importers, and the measures being taken by the UK and EU authorities.ArticleSince March 2022, sanctions on Russian goods have been incrementally imposed. These sanctions have already banned the direct and indirect import of various commodities, including oil, coal, liquefied natural gas, and certain processed gold. Additionally, goods from Russian-occupied territories in Ukraine have faced restrictions.Starting on September 30th, 2023, the Department for Business & Trade and the European Union have intensified and extended sanctions, particularly concerning iron and steel products. Any iron or steel product or material of Russian origin listed in Schedule 3B of the Russia Sanctions Regulations is now prohibited from importation.Both the UK and EU have provided guidance on the obligations for importers and supply chains:Importers are typically required to provide evidence of the 'country of origin' for iron and steel inputs used in processing products in third countries.A 'Mill Test Certificate' may be considered sufficient evidence by DBT.Customs authorities will scrutinize the presentation of relevant documents and may request further evidence.Failure to provide the required documentation can result in imports not clearing Customs, with possible enforcement actions against importers for violating sanctions rules.HMRC (Her Majesty's Revenue and Customs) is expected to adopt a consistent approach starting September 30th. Discrepancies in its approach are not anticipated.In EU member states, variations are expected in how each country applies the new rules due to the phased approach of EU sanctions and local political reactions.UK Steel has been a staunch supporter of extending sanctions on Russian iron and steel inputs. The concern lies in the circumvention of Russian inputs through third countries, posing an economic threat to UK steel products, especially with potential 'market dumping.'The UK Government's new sanctions regime aims to close these loopholes and enhance the competitiveness of British steel in the face of Russian actions in Ukraine. Make UK will collaborate with the Department for Business and Trade, the Government, and its members to ensure proper implementation of the new measures and provide guidance and clarity to members.ConclusionThe strengthened sanctions on Russian iron and steel imports represent a significant development in trade relations. These measures seek to fortify British steel's position in the face of economic challenges posed by circumvention tactics involving Russian materials. Importers and supply chains must adhere to the new regulations, backed by stringent customs enforcement.
