The European Parliament supported the extension of duty-free trade with Ukraine for another year
During the plenary session in Strasbourg, the European Parliament by a majority of votes in the first reading supported the extension of duty-free trade with Ukraine for another year, starting from June 6, 2023.
537 deputies voted "for", 42 against, and another 38 abstained.
"In view of the Russian aggression against Ukraine, which causes the need to continue economic support to Ukraine, and also taking into account the fact that in June 2022 Ukraine received the status of a candidate country, the European Commission proposed Regulatory Rules (for consideration) of the European Parliament and the Council of the EU, which renew trade liberalization measures, which should be applied for a period of one year from the date of termination of such current measures, i.e., from June 6, 2023," the document states.
The document recalls that after the beginning of the Russian Federation's large-scale invasion of Ukraine, in its conclusions of October 21, 2022 and February 9, 2023, the European Council confirmed its readiness to continue to provide Ukraine with powerful political and economic assistance. At Ukraine's request to simplify trade conditions and further deepen economic relations with the EU, the European Union took measures to simplify logistics for the supply of Ukrainian products and created "corridors of solidarity" for the export of Ukrainian goods to the world market in the conditions of the blockade of the Black Sea seaports of Ukraine, initiated by the Russian Federation.
At the same time, the EU further deepened the rules for the liberalization of trade with Ukraine, provided for in the bilateral Association Agreement, and on May 30, 2022, approved the regulatory rules regarding the temporary preferential treatment of such trade. These regulatory rules entered into force on June 4, 2022 and will remain in effect until June 5, 2023.
The trade liberalization measures, which will be extended for another year starting from June 6, 2023, supported today by the European Parliament, provide for the temporary abolition of all customs duties, in accordance with Article IV of the Association Agreement between the EU and Ukraine and in accordance with the rules of the Deep and Comprehensive Free Trade Area (PVZVT). These rules apply to two product categories: fruits and vegetables, which are subject to the input price control system, as well as agro-industrial goods and agricultural processing goods, which are subject to tariff quotas.
Temporary cancellation of trade tariffsIt also includes industrial goods subject to taxation, tariffs on which were abolished by the end of 2022 under the terms of the Association Agreement. These measures are not part of the trade liberalization package adopted today, as this category of goods is subject to zero tariffs under any conditions from January 1, 2023.
"These temporary and exceptional measures will contribute to the continuation of support and strengthening of existing trade flows from Ukraine to the European Union. This corresponds to the main objectives of the Association Agreement, which provides for the creation of conditions for strengthening economic and trade relations aimed at the gradual integration of Ukraine into the EU internal market." - stated in the document.