03 Oct 2018 - 08 May 2020

Report on significant distortions in the economy of the Russian Federation for the purpose of trade defence investigations

Project description:

Following a long period of unprecedented growth in international trade, the world trading system is currently facing considerable headwinds. One of the present challenges to free trade are State-induced distortions, which have the potential to reduce economic welfare in trading countries as well as in the country undertaking the intervention. Russia, a big player in many international markets and important trade partner for the EU, is still not meeting some of its WTO accession commitments. As far as the EU trade defence is concerned, among 237 anti-dumping and anti-subsidy proceedings initiated since 2003, Russia has been a respondent in 13 cases – that relatively small share is higher than Russia’s share in the world economy.

The objective of this study is to investigate and analyse state induced distortions in the economy of the Russian Federation. The data used in the study consists of a broad range of material: legal policy documents, official statements, interviews and international reports amongst others. To identify as many distortions as possible, the report analyses different forms of distortions such as in the financial system or State-owned Enterprises. As the burden of proof for the existence of State-induced distortions rests with the European Commission, the Directorate-General for Trade seeks  to prepare reports showing distortions in relevant countries. The Commission has selected the Russian Federation because of the relative weight of the country in the EU’s trade defence activity.

Objectives of the project:

Report: “Report on significant distortions in the economy of the Russian Federation for the purpose of trade defence investigations”

Project funding: European Commission Directorate-General for Trade

Project leader: CASE

Project partners:  LSE Consulting, NUPI


Case project administrator: Marek Peda