Could this be Russia's first WTO dispute as a respondent? Reports indicate that EU is contemplating a dispute against Russia with respect to its automobile recycling fee which it asserts discriminates imported cars from domestically manufactured cars. I had blogged about this months ago here, here and here.
A proposed Bill to amend the law to make it "WTO compliant" is under consideration - that is making it applicable to both imported as well as domestically manufactured cars.A detailed paper on the present law is found here. I am not sure what the amended proposal is - perhaps removing the exceptions relating to domestic manufacturing since the earlier law applied to domestic manufacturing too.
All eyes on July 1st - the deadline given for initiation of a dispute. This case also vividly shows how domestic legislation and policy making is impacted by multilateral trade rules. Russia, after entering into the WTO last year after 18 years of tough negotiations, would have to, inevitably face the realities of the multilateral trade body membership - dispute settlement.
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