1. SUMMARY. IN MAY 1995, THE RUSSIAN GOVERNMENT INTRODUCED A NEW IMPORT TARIFF SCHEDULE. ACCORDING TO THIS SCHEDULE, THE BULK OF THE TARIFFS REMAINED THE SAME. TARIFFS ON SOME PRODUCTS WERE LOWERED AND, ON SOME RAISED. OVERALL, MEAN IMPORT TARIFF WAS RAISED. CONSUMER PRODUCTS, ESPECIALLY FOOD PRODUCTS WERE MOST AFFECTED. END SUMMARY.
2. INTRODUCTION OF NEW IMPORT TARIFF SCHEDULES APPEARS TO BECOMING AN ANNUAL EVENT. ALONG WITH THIS TREND IS THE FACT THAT IMPORT TARIFFS ARE BEING RAISED. ACCORDING TO VICE PRIME MINISTER OF RUSSIA OLEG DAVYDOV, THE MEAN 1995 IMPORT TARIFF WENT UP FROM 11.4 PERCENT TO 12.5 PERCENT. ALTHOUGH A NUMBER OF PRODUCTS ENJOYED LOWER TARIFFS, HIGHER TARIFFS WERE IMPOSED ON MOST DEMANDED IMPORTED GOODS, ESPECIALLY ON FOOD PRODUCTS. WITH THESE CHANGES, THE RUSSIAN GOVERNMENT HAS RAISED THE MINIMUM DUTY TO 5 PERCENT, EXCEPT FOR A REDUCED NUMBER OF DUTY-FREE GOODS (AT ZERO PERCENT), AND LOWERED THE MAXIMUM DUTY TO 30 PERCENT, EXCEPT FOR A FEW "LUXURY" GOODS.
3. ACCORDING TO THE RUSSIAN GOVERNMENT DECREE, NUMBER 454 OF MAY 6, 1995, THOSE IMPORT TARIFFS REDUCED OR NOT CHANGED COME INTO EFFECT ON MAY 10, 1995. THE REST OF IMPORT TARIFF SCHEDULE (WITH HIGHER TARIFFS) WILL BECOME EFFECTIVE JULY 1, 1995. FOLLOWING IS A LIST OF SOME, MOST POPULAR IMPORTS ON WHICH TARIFFS WERE CHANGED:
A) REDUCED IMPORT TARIFFS (IN EFFECT, MAY 10, 1995)
HCODE PRODUCT NAME IMPORT TARIFF
1994 1995
-------------------------------------------------
290539- ORGANIC CHEMICALS 1 0
29291000
36 EXPLOSIVES, 100 30
PYROTECHNICAL MEANS,
MATCHES
4012 AUTOMOBILE TIRES, 40 30
RETREADED OR USED
51 WOOL 25 20
57 CARPETS, OTHER FLOOR 40 30
COVERINGS
(BUT NOT LESS THAN 0.5 ECU PER 1 CUBIC METER)
7117 JEWELRY 60 30
(BUT NOT LESS THAN 6 ECU PER 1 KILOGRAM)
8477 PLASTICS AND RUBBER 5 0
PROCESSING EQUIPMENT
850410 THROTTLES FOR DISCHARGE 60 25
TUBES OR PIPES
850431 TRANSFORMERS WITH UNDER 60 30
1 KWT CAPACITY
85051 MAGNETS 60 30
85232 MAGNETIC DISKETTES, 2 0
UNLOADED
8532 CONDENSERS 60 25
8533 RESISTORS 60 20
854011- ELECTRONIC-RAY TUBES 60 20
854012 FOR TV MONITORS
8541 DIODES, TRANSISTORS, 60 25
SEMICONDUCTORS
854211 INTEGRATED CIRCUITS, 60 30
DIGITAL
854220 INTEGRATED CIRCUITS, 60 20
HYBRID
87032319 PASSENGER CARS WITH 46 30
ENGINE UNDER 3,000
CUBIC CENTIMETER (CC)
(BUT NOT LESS THAN 1.9 ECU PER 1 CC)
8703241 PASSENGER CARS WITH 46 40
ENGINE OVER 3,000 CC
(BUT NOT LESS THAN 3.1 ECU PER CC)
88 AIRCRAFT, SPACECRAFT, 50 30
ITS COMPONENTS
9003191 GLASS FRAMES, MADE OF 60 40
PRECIOUS METALS
9111 WATCH HOUSINGS 15 10
911100 WATCH HOUSINGS, MADE OF 60 25
PRECIOUS METALS
91131
WATCH BRACELETS, 60 30
MADE OF PRECIOUS METALS
9507 FISHING AND HUNTING 20 10
ACCESSORIES
960810- BALL AND FOUNTAIN 60 40
960839 PENS, MADE OF PRECIOUS
METALS
B) RAISED IMPORT TARIFF (IN EFFECT, JULY 1, 1995)
HCODE PRODUCT NAME IMPORT TARIFFS
1994 1995
-------------------------------------------------
0207 CHICKEN MEAT 20 25
03 FISH PRODUCTS 5 10
040210 MILK, CREAM IN POWDER 2 10
AND GRANULES
040500 BUTTER AND MILK FATS 15 20
05 ANIMAL PRODUCTS 5 10
07 VEGETABLES 5 15
08 EDIBLE FRUITS AND NUTS 1 10
090121 ROASTED GROUND COFFEE 0 10
15 FATS, OILS 5 15
170199 WHITE SUGAR 20 25
1704 SUGAR CONFECTIONERY 15 20
20057 OLIVES 0 10
2009 FRUIT AND VEGETABLE 5 10
JUICE
2201 MINERAL WATER 10 20
230910 PET FOOD 15 25
30 PHARMACEUTICALS 0 10
3305 HAIR-CARE PRODUCTS 5 15
40111 AUTOMOBILE TIRES, NEW 18 25
41 RAW HIDES AND LEATHER 1 5
430310 FUR CLOTHING 20 30
851710 TELEPHONE APPARATUS 20 25
8520 TAPE RECORDERS 25 30
8521 VIDEO RECORDING EQUIP. 25 30
854470 FIBER OPTIC CABLES 2 15
8711 MOTORCYCLES, 20 25
MOTORBICYCLES
9003 GLASS FRAMES 0 10
94 FURNITURE AND ITS 20 30
ACCESSORIES
4. IN GENERAL, THE NEW IMPORT TARIFF SCHEDULE BECAME MORE RESTRICTIVE FOR RUSSIAN IMPORTERS, MORE PROTECTIVE FOR RUSSIAN PRODUCERS, AND MORE COSTLY FOR RUSSIAN CONSUMERS. SUCH PRODUCTS AS AUTOMOBILES, CARPETS, JEWELRY, CLOTHING, TV RECEIVERS, SAUSAGES, CHEWING GUM, CIGARETTES, ETC. WHICH HAVE REDUCED OR NOT CHANGED TARIFFS, NOW ARE SUBJECT TO ECU CONDITION WHICH MAKES THE ACTUAL DUTY EVEN HIGHER. FOR EXAMPLE, THE IMPORT TARIFF ON AUTOMOBILES WAS LOWERED IN PERCENT. HOWEVER, THE BOTTOM-LINE DUTY SHOULD BE CALCULATED IN ECU, PER CUBIC CENTIMETER OF THE ENGINE. THIS WAY, THE ACTUAL IMPORT DUTY ON AUTOMOBILES IN SOME CASES GOES UP RATHER THAN DOWN.