Europe's trade chief warns Russia over WTO rules

PanARMENIAN.Net - Europe's trade chief threatened to take Russia to the World Trade Organization over a string of restrictive practices on Friday, Sept 7, saying Moscow needed to play by the rules now it was a member of the global body.

According to a Reuters report, Trade Commissioner Karel De Gucht singled out Russia's ban on European live animal imports, plans to levy fees on imported vehicles, two anti-dumping cases and another trade defense case launched by Moscow against Europe in recent months.

In the same week that the European Commission opened an investigation into Russia's Gazprom and China's solar panel exports, De Gucht said the measures sent "the wrong signal".

"Membership of the WTO means a country is subject to the dispute settlement mechanism of that organization," he told an EU-Russia seminar in Helsinki.

"Russia should understand that Europe takes that mechanism very seriously and that we will not hesitate to enforce our rights where they are violated," he added.

Russia joined the WTO last month after an 18-year wait. President Vladimir Putin said on Wednesday the country would use its membership to try to develop freer trade across the world, but he'll also be hoping it will further boost the energy-driven $1.9 trillion economy.

De Gucht said Russia was violating WTO rules by keeping its markets closed to competitors.

"What these and other measures ... have in common is that they affect products where significant market opening is due to take place under Russia's WTO commitments," De Gucht said. "This is the wrong signal to send at a time when liberalization is supposed to be moving forward."

Russia and the EU are deeply intertwined, with Europe relying heavily on Russian energy exports and Russians hungry for EU products and access to its 500 million consumers.