Brussel, 13 May 2024
The suspension of import duties and quotas on Ukrainian exports to the European Union will be extended for another year, following today’s adoption by the Council and April 23 vote in the European Parliament. The EU is thereby delivering once again on its commitment to support Ukraine for as long as it takes.
These so-called Autonomous Trade Measures (ATMs) have been in place since June 2022 and are a key pillar of the EU’s unwavering support for Ukraine, providing a lifeline to the country’s economy through access to the EU market.
The measures are also mindful of EU stakeholders’ concerns. To this end – and considering a significant increase in imports of some agricultural products from Ukraine to the EU in 2022 and 2023 – the renewed ATMs contain a reinforced safeguard mechanism. It allows for quick remedial action to be taken in case of significant disruptions to the EU market or the markets of one or more Member States.
In addition, an emergency brake applies to eggs, poultry, sugar, oats, maize, groats, and honey, which will be automatically triggered if import volumes reach the average yearly imports recorded between 1 July 2021 and 31 December 2023.
Now that the ATMs are adopted, the Commission is also taking the necessary steps, through consultations with Ukraine under Article 29 of the EU-Ukraine Association Agreement, to agree on longer term reciprocal tariff liberalisation. This process aims to provide economic certainty and a stable framework for trade to both Ukraine and the EU, as well as to farmers and businesses. This would also represent an important step forward for Ukraine’s reconstruction and further integration into the EU internal market, with the ultimate goal of securing the country’s future accession to the Union.
Next steps
The new ATMs will enter into force on 6 June, after the current regime expires on 5 June 2024. They will be in effect until 5 June 2025.
Background
In force since 4 June 2022, the ATMs have had a clear positive effect on Ukraine’s trade to the EU. The measures help alleviate the difficult situation faced by Ukrainian producers and exporters as a consequence of Russia’s unprovoked and unjustified war of aggression. Together with the Solidarity Lanes, the ATMs have ensured that trade flows from Ukraine to the EU have remained remarkably stable in 2022 and 2023 despite the major disruptions caused by the war and against the general trend of a decrease of Ukraine’s trade overall. EU imports from Ukraine amounted to €22.8 billion in 2023 compared to pre-war levels of €24 billion in 2021.
More information
Quote(s)
In the face of the devastation caused by Russia’s war of unprovoked aggression, these renewed ATMs are a vital support to the Ukrainian economy. They will ensure that we keep Ukrainian goods moving, while also taking the concerns of the EU agri-food sector into account. Thanks to the earnings generated from Ukrainian exports to and via the EU, Ukraine will have more financial means to win this war and will be in a stronger position to recover from it.
Valdis Dombrovskis, Executive Vice-President and Commissioner for Trade
Source – EU Commission
EU Council approves the renewal of EU’s autonomous trade measures
13 May 2024 14:55
The Council approved today the suspension of import duties and quotas on Ukrainian and Moldovan exports to the EU for another year.
This renewal reaffirms the EU’s unwavering political and economic support for Ukraine, after two years of Russia’s unprovoked and unjustified military aggression, and at the same time reinforces the protection of EU farmers as regards certain sensitive agricultural products.
Ukraine
The EU’s autonomous trade measures for Ukraine will apply from 6 June 2024 until 5 June 2025 and concern the continued suspension of all outstanding customs duties and quotas under Title IV of the EU-Ukraine Association Agreement (DCFTA).
The Regulation will also include two safeguard mechanisms to protect the EU market:
- a strengthened version of the existing safeguard mechanism, which will apply on the basis of regular monitoring, allowing the Commission to impose any measure provided that specific conditions are met;
- a new, automatic safeguard mechanism which will oblige the Commission to reintroduce quotas if imports of poultry, eggs, sugar, oats, maize, groats and honey exceed the arithmetic mean of quantities imported in the second half of 2021, in 2022 and in 2023.
Moldova
The EU’s autonomous trade measures for Moldova will apply from 25 July 2024 to 24 July 2025. They take the form of a temporary suspension of all outstanding customs duties and quotas under Title V of the Association Agreement. They also reinforce the protection for sensitive agricultural products, by beefing up the safeguard mechanism already included in the current Regulation.
Background
On 31 January 2024, the European Commission proposed to extend the suspension of import duties and quotas on all imports from Ukraine and Moldova to the EU for another year. The proposal was presented in the context of Russia’s continuing war of aggression against Ukraine and the consequent ongoing impact on Moldova, the resulting need to continue to support Ukraine and Moldova economically, and considering that Ukraine and Moldova were granted EU candidate status in June 2022 and accession negotiations were opened in December 2023.
- Regulation on temporary trade-liberalisation measures – Ukraine (agreed at first reading)
- Ukraine: Council and Parliament reach a deal to renew EU’s autonomous trade measures (press release, 20 March 2024)
- Ukraine: Council adopts renewal of temporary trade liberalisation and other trade concessions (press release, 25 May 2023)
- EU response to Russia’s invasion of Ukraine (background information)
- EU-Ukraine Deep and Comprehensive Free Trade Area, European Commission
- Regulation on temporary trade-liberalisation measures – Moldova (agreed at first reading)