Europees Commissaris voor handel in Rusland voor lidmaatschapsonderhandelingen WTO (en)

EU Trade Commissioner Peter Mandelson i will today begin a two day visit to Moscow, for talks that will focus on Russian WTO membership. Commissioner Mandelson will meet Deputy Prime Minister and Finance Minister Alexei Kudrin; Minister for the Economy, Development and Trade Elvira Nabiullina; Chairman of the Duma Committee on Economic Policy Mr. Efgeny Fedorov and representatives of Russian and European industry.

Speaking before the trip, Commissioner Mandelson said: "This will be a year of transition in Russia and we need to maintain the constructive work we have been doing on Russia's closer economic integration with the European Union. Our priority must be to see Russia accede to the WTO which will be good for Russia, good for regional economic integration and good for the global trading system, which needs Russia inside rather than out. We have made good progress in recent weeks in resolving outstanding problems. With political will on both sides, I believe that negotiations can be completed quickly."

The EU-Russia economic basics

EU exports to Russia in 2006 amounted to €72.4 billion - mainly machinery and chemicals - and represent 6.2% of EU exports. EU imports from Russia in 2006, amounted to €140.8 billion Euros, mostly concentrated in the energy and minerals sectors . This represents 10.4% of EU imports. Provisional statistics for 2007 show a 26% increase in EU exports over the first 9 months of the year, but a slight decrease in EU imports.

The EU is by far Russia's biggest trading partner and source of investment - it receives more than half of all Russian trade. Although EU-Russia trade is growing, it remains overwhelmingly focussed on energy goods and the energy industry. Opportunities for EU trade and investment in Russia are limited by an uncertain business and political climate and barriers to imports. Closer EU-Russia economic integration would facilitate investment and help diversify the Russian economy, bring greater stability to economic ties and encourage the development of small and medium sized businesses in Russia.

A first step to closer economic integration with the EU is WTO entry for Russia. This can be followed by negotiations to create a deeper integrated free trade area as part of the new EU-Russia Partnership Agreement. The EU and Russia would focus on regulatory harmonisation, openness to investment flows and the removal of non-tariff barriers.

More on EU-Russia trade relations: http://ec.europa.eu/trade/

Read Commissioner Mandelson's most recent speech on EU-Russia relations:

http://ec.europa.eu/commission_barroso/mandelson/speeches_articles/sppm172_en.htm