U.S. Secretary of Commerce Gina M. Raimondo announced that the United States would temporarily suspend 232 tariffs on Ukrainian steel for a period of one year. Ukraine's steel industry is unique to the country's economic strength, employing one in 13 Ukrainians in a well-paid job.
Some of Ukraine's largest steel communities have suffered the most from Putin's barbarism, and the Mariupol steel plant has become a lasting symbol of Ukraine's resolve to resist Russian aggression. Many steel mills in Ukraine continued to pay, feed and even shelter their employees during the fighting. Despite the nearby fighting, some Ukrainian factories have even resumed production.
Creating export opportunities for these factories is essential to their ability to continue to employ their workers and support one of Ukraine's most important industries.
Statement by Secretary of Commerce Gina M. Raimondo:
“Steelworkers are some of the most resilient people in the world, whether they live in Youngstown or Mariupol. We cannot simply admire the fortitude and spirit of the Ukrainian people – we need to watch their back and support one of the most important sectors of the Ukrainian economy. For steel mills to continue to be an economic lifeline for the people of Ukraine, they must be able to export their steel. Today's announcement is a signal to the Ukrainian people that we are committed to helping them thrive in the face of Putin's aggression and that their work will make Ukraine stronger today and in the future.
“I want to thank President Biden for instructing us to do everything possible to support the Ukrainian people and their economy, as well as the Ukrainian leaders with whom I have had the opportunity to work over the past two months. The diplomatic leaders of Ukraine have been important partners and protectors of their people, and we will continue to do our best to support their work towards peace, freedom and prosperity.”
About Commerce Support for Ukraine
Since Russia invaded Ukraine on Feb. 24, the Commerce Department has partnered with three dozen allies, including 27 EU member states, Canada, the UK, Australia, New Zealand, Japan, South Korea, Switzerland, Iceland and Norway.
Multilateral coordination in export controls and other areas has been impressive and has led to the rapid development and implementation of powerful restrictions that have a serious impact on Russia's ability to withstand its aggression.
Commerce has added 260 members from Russia, Belarus and several other countries to the list of legal entities. These organizations have participated in, contributed to, or otherwise supported Russian security services, the military and defense sectors, and military and/or defense research and development. (BIS)
U.S. exports to Russia in product categories subject to new U.S. export licensing requirements are down 97% in value compared to the same period in 2021 (February 24-April 29). (BIS data)
Total U.S. exports to Russia are down about 79% in value terms compared to the same time period in 2021 (BIS data).
According to public reports, Russia's two largest tank manufacturing facilities were forced to close due to lack of access to necessary parts and equipment. (Wall Street Journal, 4/25)
Russia is facing an acute shortage of precision-guided missiles.
(Financial Times, 4/30)
