European Commission proposes gradually increasing import duties on Russian, Belarusian fertilizers from July 2025

MOSCOW. Jan 30 (Interfax) - The European Commission is proposing a gradual rise in import duties on nitrogen and compound fertilizers from Russia and Belarus to a prohibitive level of over 300 euros per tonne, according to regulatory materials.

According to a draft regulation published by the European Parliament, an additional duty of 40 euros per tonne is proposed for nitrogen fertilizers (HS code 3102) starting July 1, 2025, on top of the existing ad valorem rate of 6.5%. The specific rate is expected to increase to 60 euros in July 2026, 80 euros in July 2027 and 315 euros per tonne in July 2028.

For compound fertilizers (HS codes 3105 20, 3105 30, 3105 40, 3105 51, 3105 59, and 3105 90), the specific rate may be set at 45 euros per tonne from July 1, 2025, with further increases to 70, 95, and 430 euros per tonne, respectively.

During a three-year transition period, the maximum duty rate will apply to imports of Russian and Belarusian fertilizers exceeding a set quota of 2.7 million tonnes from July 1, 2025, to June 30, 2026; 1.8 million tonnes from July 1, 2026, to June 30, 2027, and 0.9 million tonnes from July 1, 2027, to June 30, 2028.

If the prices of these fertilizers exceed 2024 levels during the transition period, the European Commission may take measures, including temporarily lifting import duties on fertilizers from other countries excluding Russia and Belarus, the document said.

"The tariffs will support the growth of domestic production and the EU's fertilizer industry, which has suffered during the energy crisis," the commission said, while also promoting the diversification of fertilizer supplies to the European market. The proposal must be approved by the European Parliament and the EU Council.

Introducing prohibitive duties on fertilizers from Russia and Belarus could trigger an agricultural crisis if concrete measures are not taken to diversify imports, said Copa-Cogeca, the European association of farmers' unions.

"European farmers currently have no guarantees that the resulting fertilizer shortage will be offset by increased domestic production at competitive prices - a key argument put forward by proponents of these sanctions. These measures will lead to a price increase of at least 40-45 euros per tonne for the next planting season. This will create additional financial pressure on farms, which are already operating in an extremely challenging economic climate. The consequences for agricultural production, competitiveness and farmers' incomes could be catastrophic," Copa-Cogeca said.