Association of Equipment Manufacturers

Advisor Newsletters - AEM Advisor

AEM Scrutinizes New Tax on Russian Equipment Imports, Continues to Push for PNTR

AEM is scrutinizing a new tax that Russia has imposed on heavy equipment imports and is discussing the issue with U.S. officials in an effort to have the tax rescinded.

On September 1, 2012, Russia imposed a new Vehicle Recycling Tax that purportedly seeks to generate revenue for heavy equipment recycling and establishment of a disassembly and recycling industry.

The fee is economically damaging to the equipment manufacturing industry and is in possible violation of World Trade Organization (WTO) rules. However, failure by Congress to grant Permanent Normal Trade Relations (PNTR) status to Russia may limit potential remedies available to U.S. equipment manufacturers.

If your company has been impacted by this new tax, please contact AEM’s Alex Russ (, tel: 202-701-7019).

AEM continues to push on Capitol Hill for Congressional action that would allow AEM member companies to benefit from Russia’s full entry into the World Trade Organization (WTO). For AEM member companies to benefit from Russia’s ascension to the WTO, both the House and Senate must repeal the outdated 1974 Jackson-Vanik amendment and grant Russia PNTR.

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