Tone sharpens between Brussels and Moscow

Published on 13 June 2013 at 13:55

At a time when Brussels is battling against Chinese dumping and prepring to ward off the American onslaught in concluding an acceptable free trade agreement, the trade dispute between the European Union and Russia appears to be "a forgotten trade war", writes Libération.

According to the French daily, in fact –

For 10 months now, Russia [which joined the WTO on 22 August 2012], the third-largest trading partner of the EU behind the United States and China, is piling up obstacles to European exports. By now almost all the major products have been affected: in agriculture, automotive, wood and paper. The loss of profits to European businesses is around €7bn per year.

That, reveals Libération, is why the European Commission is preparing to take to the World Trade Organisation "as early as July” the matter of

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taxes slapped on imported cars, [...] the primary export of the EU to Russia (€10.5bn per year). Starting June 16, Moscow will impose anti-dumping duties on light commercial vehicles from Volkswagen and Mercedes (29.6 per cent) and from Fiat (23 per cent).

Libération reports that Europeans have long been divided on the subject between

some, like Germany, which despite the taxes remain overall winners, and some like Poland, delighted to take the place vacated by those who can no longer export.

But this time, the newspaper concludes, Vladimir Putin

by going too far and playing too brutal a hand, has succeeded in creating a united front against him.

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