Last week, Russia explored potential changes to the duty-free import threshold for goods bought from foreign online stores. The discussions were reported by RBC, signaling a pivotal moment for cross-border shopping and tax policy in the region.
An interdepartmental meeting held on February 7 examined several options for adjusting the current limit. Proposals included keeping the €1000 threshold as is, lowering it to €500 or €200, or removing the cap entirely and then introducing a new tax framework to replace it. The spectrum of ideas highlights a balancing act between keeping consumer purchasing power and protecting domestic markets and revenue streams.
Historically, the EAEU duty-free cap stood at €1000 and 31 kg per person per month until 2019. It was gradually reduced first to €500 and then to €200 by 2020. In April 2023, the limit was restored to €1000 as part of broader economic support measures. That relief has been extended multiple times and remains in place through March 31, 2024, with ongoing considerations about its future. The current discussions reflect a broader assessment of how best to harmonize cross-border trade with domestic economic objectives in a changing global environment.
RBC sources indicate that the Chamber of Commerce and Industry, the Federal Antimonopoly Service, and the leading markets and logistics companies favor preserving the €1000 limit. In contrast, the Ministry of Industry and Trade advocates a reduction to €500, while the Ministry of Finance and the Federal Customs Service push for a move to €200. The divergence among ministries and industry groups underscores the tension between consumer convenience and fiscal discipline, especially in a dynamic import landscape.
Officials from the Finance Ministry and the Federal Customs Service expect the final decision to rest with the government. Stakeholders in logistics and marketplaces warn that lowering the limit could push up the cost of imported goods for buyers, potentially dampening demand and eroding competitiveness for foreign sellers within the domestic market. The debate is not only about numbers but also about how changes would ripple through pricing, retail strategy, and consumer behavior across Russia and its trade partners.
The Eurasian Economic Commission has noted that there has not yet been an official request from Russia to extend the 1000 Euro limit. Any extension would require consensus among all five EAEU member states, reflecting the collaborative nature of the union and the need for broad agreement on taxation and border policies. In parallel, officials have looked at the possibility of tying certain taxes to global price benchmarks, aiming to align duties with international price levels and reduce distortions in trade flows. This approach would require careful calibration to protect domestic markets while maintaining fair access for international goods.
Meanwhile, the government has also signaled that broader export controls are being reviewed. Earlier in the year, the Council of Ministers expanded restrictions on the export of a range of goods from the Russian Federation, signaling a multi-faceted policy posture that blends import policy with export controls and strategic economic levers. Together, these moves illustrate a comprehensive effort to manage cross-border commerce amid domestic needs and international dynamics while seeking to preserve competitive prices for Russian consumers and businesses.