Ukraine has told its trading partners it wants to raise maximum tariffs on hundreds of imported goods, a move that could unleash protectionist forces and may even pose a threat to the $18 trillion global trade system.
In a document marked “secret” sent to members of the World Trade Organisation last week and seen by Reuters, Ukraine says it intends to raise the limit on the tariffs it can legally impose on more than 350 goods. Based on figures in the proposal, Kiev’s plan would hit overall imports worth more than $4.6 billion in 2011.
The document, consists of 85 pages of annexes detailing the items affected. It says Ukraine is prepared “to enter into negotiations and consultations” with WTO members for the concessions.
There was no response to requests for comment from Ukraine officials in Geneva or Kiev. Ukraine, a relative newcomer to the WTO, has a trade deficit which widened by more than 50 per cent last year to $14 billion.
WTO officials played down the move, which, though radical, is permissible under the agency’s rules. – (Reuters)
