The Australian Government hit Russia and Belarus with raised import tariffs in April, and now it has extended the additional duty on goods that are the produce or manufacture of those countries for twelve months. These goods will continue to have a rate of customs duty of 35% or greater and will only be eligible for concessional treatment in certain cases.
The Australian Border Force (ABF) has issued Australian Customs Notice No. 2022/45:
Extension of the additional customs duty on Russian and Belarusian goods.
The removal of Most Favoured Nation (MFN) treatment previously accorded to goods imported from the Russian Federation (Russia) and increase in duty is in line with the increases imposed and maintained by the United Kingdom, New Zealand and Canada.
Goods to which the additional rate of customs duty applies.
The original measure applied the additional duty to these goods where they left for shipment to Australia on or after 25 April 2022. It applied for a period of six months and was due to end on 24 October 2022. The measure has been extended for a period of twelve months to 24 October 2023.
Goods that are the produce or manufacture of Russia or Belarus and left for shipment to Australia on or after 25 April 2022 and are entered for home consumption in Australia between 25 April 2022 and 24 October 2023 (inclusive) will not be eligible for the general rate of customs duty in Schedule 3 of the Customs Tariff Act 1995 (Customs Tariff Act).
Where goods that are the produce or manufacture of Russia or Belarus left for direct shipment to Australia before 25 April 2022, from a place of manufacture or warehouse in the country from which the goods are exported, they may be exempt from the application of the additional duty when entered for home consumption between 25 April 2022 and 24 October 2023.
The new rates of customs duty that apply.
The additional duty applicable to these goods will continue to be 35% of the customs value of the goods, as determined in accordance with section 159 of the Customs Act 1901. The rate of customs duty for each good will, therefore, be the sum of the additional duty and the general rate of customs duty, excise-equivalent duty, or customs duty in dollar amount listed in Schedule 3 of the Customs Tariff Act.
Ministerial Media release regarding customs duty on Russian goods.
Minister for Foreign Affairs, Senator Penny Wong, has issued a joint media release with Senator Don Farrell, Minister for Trade and Tourism, which states, in part:
“Australia has imposed additional costs on Russia for its unprovoked, illegal, and immoral war on Ukraine.
“The Australian Government is extending the application of a punitive tariff on goods imported from Russia and Belarus for a further 12 months until October 2023.
“The additional 35 per cent tariff on Russian imports, together with the prohibition on energy imports, has had a significant impact on trade.
“The Australian Government has also directed Export Finance Australia to reject any requests for loans or other finance that support trade with, or investment in, Russia or Belarus. This legal direction will ensure Russia and Belarus do not benefit from any financing provided by “Export Finance Australia.
These measures are intended to undermine Russia’s ability to fund its invasion of Ukraine.”
For all your enquiries about import cargo and Customs duties, talk to us here at Colless Young. As licensed Customs Brokers and International Freight Forwarders, we professionally handle your consignments, whether by sea or airfreight. We provide a complete range of logistics services for imports and exports including trucking, warehousing and cargo tracking. We are based in Brisbane and act at all Australian ports and airports.
