9,367.77 TRY BIST 100 BIST 100
34.56 USD USD USD
36.19 EUR EUR EUR
4.79 CNY CNY CNY
0.13 CNY CNY/EUR CNY/EUR
41.35 TRY Interest Interest
74.24 USD Fossil Oil Fossil Oil
30.90 USD Silver Silver
4.09 USD Copper Copper
100.80 USD Iron Ore Iron Ore
365.00 USD Shipbreaking Scrap Shipbreaking Scrap
2,982.57 TRY Gold (gr) Gold (gr)

Russian steel mills to share export margins with government

Russian steel mills expected to share their export margins with government under new export tax initiative.

Russian steel mills to share export margins with government

As SteelRadar reported before, The Russian government may soon impose export taxes on a number of goods that are currently freely traded and are expected to have a particularly negative effect on the local coal and metallurgical industries. Russian sources claim that they expect the measure to cover all longs and flats, as well as billet, slab, pig iron, coal, and iron ore. However, taking into account the already in place quota trade restriction, scrap exports will be disregarded.

The size of the duty will depend on the local currency rate. If the rate is 80-85 rubles per USD the duty will make 4 percent, if it is 85-90 – 4.5 percent, 90-95 – 5.5 percent and if the exchange rate is over 95 then the export tax reaches 7 percent. However, there are different readings of the term of the duty validity. The initial message stated it will imposed from October 1, 2023 till December 31, 2023, while the latest publications in the local Russian press state the period might until be as long as end of 2024. 

If the parity in question remains above 95, the export tax will be applied at 7%. If the parity falls below 80, the export tax will be reset.

Comments

1 comments
I would say that this is a prohibitive tax so that everyone will reduce exports and this will lead to lower prices on the domestic market. But we went through this already in the late 90s - early 2000s. It didn’t lead to anything good then and it won’t lead to anything good now. Production that worked for export will simply begin to close. The main purpose of this tax is to urgently collect the missing funds for the country's budget. You understand that war is a very expensive endeavor, and the government now has a deficit budget...

Only +plus subscribers can access this content.

SUBSCRIBE now to share your thoughts on the markets and get more comments.
SUBSCRIBE If you already have an account Sign In

Most read news

South Korea's crude steel production decreased by 18.3% in October

Friday, November 22, 2024

SSAB and Saint-Gobain's slag reprocessing plant in Raahe progresses

Friday, November 22, 2024

US Steel Producer partners with Primetals Technologies for EAF Ultimate

Friday, November 22, 2024

Imported scrap prices on the decline, demand stagnant!

Friday, November 22, 2024

Roadmap for India’s steel sector: Demand, imports and future plans

Friday, November 22, 2024
Follow List
Expand
Your watch list is empty

Add your favorite commodities for quick access and don't miss the latest price change news.


There are no news categories you follow
Edit Notification Preferences
E-bulletin subscription
Sign up to receive the latest news and daily iron prices by e-mail and sms
Become a Plus Subscriber Now!
Try it free for 3 days!
Subscribe Now
Neutral Prices
Be informed
Provincial Iron Prices
Comments and Analysis
Subscribe Now