The EU wants the Chinese price: it threatens Russia with legal action because of oil benefits

The EU threatens Russia with another claim at the WTO, it again raised a controversial issue about the benefits on export duties for oil fields in Eastern Siberia. Benefits allegedly given to China - as a buyer of Russian oil – an advantage over Europe. The authorities of the Russian Federation consider the claims unfounded. According to sources of the Kommersant, the case is unlikely to reach a trial, as European companies d do not have real loss.

The EU once again raised the question of that system of benefits on export duties for certain Russian oil fields is contrary to the norms of the WTO. According to the Reuters, the topic was discussed at the meeting of the WTO’s Council for Goods Trade on Monday and "may become the subject of litigation". The essence of the claim is that reduced rates of export duty were set for fields in Eastern Siberia, the oil from which is mainly supplied by pipeline to China, in comparison with deposits of European Russia and Western Siberia, the oil from which is exported to the EU countries.