IMPLEMENTATION LEVEL

National

AFFECTED FLOW

Inflow

ANNOUNCED AS TEMPORARY

No

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

all

JUMBO

No

TARIFF PEAK

No
← back to the state act
Inception date: 17 Feb 2014 | Removal date: open ended
Still in force

Production subsidy

With Decree 115 of 17 February 2014 the Russian Government introduced state subsidies (RUB 1.9 billion for 2014, USD 55 million) that have the purpose to ensure more affordable prices of Russian-made farming equipment for agricultural producers and to expand the local farming equipment production.

Concretely, the state authorities will reimburse to manufacturers of agricultural equipment 15% of their production and sales-related costs. The following types of equipment and machinery will be subsidised: livestock-milking equipment; milk transport and storage equipment;tractors for amelioration, the viticulture, gardening, beet, cotton, and seed-growing sectors; post-harvest hay-processing agricultural equipment (calibration systems,grain-cleaning, pre-cleaners, bur extractors).

As declared by Russian officials on various occasions (see the provided sources), foreign companies must not benefit from Russian subsidies. The GTA includes state guarantees and other financial incentives that are likely to affect the restructuring and performance of firms facing international competition, whether from imports, in export markets, and from foreign subsidiaries.

AFFECTED COUNTRIES

MAP
TABLE
EXPORT

AFFECTED SECTORS AND PRODUCTS

441 Agricultural or forestry machinery & parts
8432 Agricultural, horticultural or forestry machinery for soil preparation or cultivation; lawn or sportsground rollers.
843210 Ploughs
843221 Disc harrows
843229 Other
843230 Seeders, planters and transplanters
843240 Manure spreaders and fertiliser distributors
843280 Other machinery
843290 Parts
8701 Tractors (other than tractors of heading 87.09).
870110 Pedestrian controlled tractors
870130 Tracklaying tractors
870190 Other
491 Motor vehicles, trailers & semi-trailers; parts
8701 Tractors (other than tractors of heading 87.09).
870120 Road tractors for semitrailers
8705 Special purpose motor vehicles, other than those principally designed for the transport of persons or goods (for example, breakdown lorries, crane lorries, fire fighting vehicles, concrete mixer lorries, road sweeper lorries, spraying lorries, mobile wor
870510 Crane lorries
870520 Mobile drilling derricks
870530 Fire fighting vehicles
870540 Concretemixer lorries
870590 Other

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