The European Parliament adopted by 537 votes to 42, with 38 abstentions, a legislative resolution on the proposal for a regulation of the European Parliament and of the Council on temporary trade liberalisation supplementing trade concessions applicable to Ukrainian products under the Association Agreement between the European Union and the European Atomic Energy Community and their Member States, of the one part, and Ukraine, of the other part.
The European Parliament adopted its position at first reading in accordance with the ordinary legislative procedure by taking over the Commission's proposal.
The Commission adopted a proposal for a Regulation on temporary trade liberalisation supplementing trade concessions applicable to Ukrainian products under the Association Agreement between the Union and Ukraine. This proposal for a Regulation renews these trade liberalisation measures. It should apply for a period of one year from the date of expiry of the current measures. These measures will expire on 6 June 2023.
The proposal provides for temporary suspension of all outstanding customs duties under Title IV of the Association Agreement between the EU and Ukraine establishing a deep and comprehensive free trade area (DCFTA). This concerns two categories of products: (a) fruits and vegetables subject to the entry-price system; (b) agricultural products and processed agricultural products subject to tariff-rate quotas.
The preferential arrangements will be subject to the following conditions:
- compliance with the rules of origin of products and the procedures related thereto as provided for in the Association Agreement;
- Ukraine’s abstention from introducing new duties or charges having equivalent effect and new quantitative restrictions or measures having equivalent effect for imports originating in the Union, from increasing existing levels of duties or charges or from introducing any other restrictions on trade with the Union, including discriminatory internal administrative measures, unless clearly justified in the war context; and
- Ukraine's respect for democratic principles, human rights and fundamental freedoms and respect for the principle of the rule of law as well as continued and sustained efforts with regard to the fight against corruption, and illegal activities provided for in Articles 2, 3 and 22 of the Association Agreement.
The proposal introduces expedited safeguard procedures which will apply on the basis of regular monitoring, allowing for the possible reintroduction of custom duties.