The European Union intends to raise tariffs on Ukrainian goods imported into the EU after June 5, when the conditions of duty-free trade established after Russia’s full-scale invasion expire. The Ukrainian government estimates that a return to pre-war trade conditions could lead to a decrease in the country’s revenue of approximately €3.5 billion per year.
This is reported by Бізнес • Медіа
It is worth noting that the EU has a free trade agreement with Ukraine, but after Russia’s invasion in 2022, tariffs on Ukrainian imports were temporarily suspended.
Transitional Measures During Agreement Update
Brussels plans to introduce “transitional measures” that will be in effect until the joint trade agreement is updated. The decision to reinstate tariffs on Ukrainian imports was made after Poland initiated measures to protect European farmers. Currently, Ukraine has been granted a quota allowing it to sell a certain amount of goods duty-free in the EU over the course of a year.
New Quota Distribution
A transitional measure is also being considered, which proposes dividing the annual quota into 12 parts – one for each month. This will allow for a more even distribution of Ukrainian imports throughout the year. This will have the greatest impact on the sales of corn, sugar, honey, and chicken.