Kazakhstan to hike recycling fees for Russian cars to protect domestic auto industry

ALMATY. March 10 (Interfax) - Kazakhstan plans to raise recycling fees on automobiles imported from Russia to protect its domestic auto industry, the industry minister said Tuesday.

"We are not introducing any new measures for the Russian market; we are simply mirroring the situation," Industry Minister Yersaiyn Nagaspayev told a government briefing. "This is necessary to protect our domestic auto industry."

Nagaspayev said Russia had increased recycling fees for Kazakh cars many times over, with rates set to rise annually on a progressive scale.

A joint order from the ministries of industry and ecology has not yet been signed, the minister said. However, he added that a sharp increase in car prices is not expected once the order takes effect.

"Not that many cars enter Kazakhstan from Russia, so there will not be a sharp spike in car prices," Nagaspayev said.

A draft order from the Ecology Ministry proposes applying a coefficient of 2 to the recycling fee rate for automobiles and self-propelled agricultural machinery imported from Russia and Belarus.

Officials say the amendments aim to address regulatory imbalances, align rates with Eurasian Economic Union regulations and protect national interests.