Tashkent, Uzbekistan (UzDaily.com) -- The Russian Ministry of Industry and Trade did not support the proposal of the Union of Plastic Processors (UPP) to abolish the anti-dumping duty of 20.3% on high-density polyethylene (HDPE) from Uzbekistan and eliminate import duties on all types polymer raw materials, Kommersant reports. 

According to the department, the anti-dumping duty on Uzbek polyethylene is justified and is part of comprehensive measures taken to develop the production of synthetic materials and finished products. The ministry noted that import duties are reduced only for those types of polymers that are not produced in Russia.

According to the Ministry of Industry and Trade, Russia is a net exporter of polymers, with production of 5.3 million tons and domestic consumption of 3.9 million tons annually. In 2022–2023, more than 50 new local brands of polymers were introduced in Russia, and the launch of several more special brands is at the development stage. The ministry also notes that the increase in prices for raw materials for polymers did not affect the cost of finished products.

Earlier, UPP sent a letter to Prime Minister Mikhail Mishustin with a proposal to cancel the increased duty on Uzbek polyethylene, which could lead to an increase in the cost of foreign analogues. They also proposed removing import duties on polymer raw materials, which amount to 6.5%.

At the same time, the Ministry of Economic Development is ready to consider the issue of reducing import duties within the framework of the subcommittee on customs, tariff and non-tariff regulation.

According to Plastinfo.ru, the volume of HDPE imports from Uzbekistan in 2023 increased by 37%, and amounted to about 20% of total imports. The production of HDPE in Uzbekistan is carried out by the enterprises Uz-Kor Gas Chemical (UGCC) and Shurtan Gas Chemical Complex (SGCC). 

The introduced duty significantly reduced competition among polyethylene producers on the Russian market and made it difficult for importers, as the need to prove the absence of production of raw materials in Uzbekistan increased. 

An anti-dumping duty on Uzbek HDPE, amounting to 20.3% of the customs value, was introduced by the Eurasian Economic Commission (EEC) in January 2022 for five years. Uzbekistan is not yet a member of the EAEU. After Uzbekistan joins the EAEU, trade duties will likely be revised.