The Australian Government is extending punitive tariffs on goods imported from Russia and Belarus for two more years. The measure was announced yesterday (25 September 2023) in a joint media release by Minister for Foreign Affairs, Penny Wong, and Senator Don Farrell, Minister for Trade and Tourism. It will stay in place until October 2025.
Australia is working closely with international partners to impose costs on Russia, through targeted sanctions and trade measures that diminish Russia’s ability to fund its war in Ukraine.
Canberra first introduced an additional 35% tariff on Russian imports in April 2022 and extended it again 6 months later (October 2022). Together with the prohibition on gold and energy imports, it has had a significant impact on trade between our countries.
Russia is a relatively minor trade partner for Australia – the 46th largest in 2020 – but before the war broke out it had been a supplier for a large volume of fertilizers used by Australian farmers.
Imports from Russia fell by over 95% in the second half of last year, compared to the same period in 2021. In fact in 2022, goods of Russian origin were the lowest figures on record.
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.
DFAT has more information about sanctions on a webpage titled, Why are sanctions imposed?
Quotes attributable to Minister for Trade and Tourism Don Farrell:
“Russia cannot expect to reap the benefits of international trade when its actions violate the international rule of law.
“We are keeping up the economic pressure on Russia and Belarus by extending the application of the additional tariff on goods from these countries for a further 24 months.”
Read our previous article on this issue: Customs Extends Penalties on Russian Imports.
For more information about international trade and shipping – whether with Europe or elsewhere around the globe – contact us here at Colless Young. As licensed Customs Brokers and International Freight Forwarders we offer correct, professional advice on all your import and export transactions. We are based in Brisbane and provide a complete range of logistics services, for both airfreight and sea cargo through all Australian ports and airports.
