The Industry and Trade Ministry backed the idea of raising VAT on foreign online orders
The Industry and Trade Ministry backed the idea of raising VAT on foreign online orders: the Union of Leatherworkers and Shoemakers appealed to the authorities with that proposal, Kommersant writes.
Business is proposing that from 2027, a 22% VAT be introduced on all non-food goods from abroad, along with duties and mandatory labeling. This is being explained as protection for Russian manufacturers: according to the union, footwear production in early 2026 had already fallen by 11%.
The authorities are also considering a softer option: a phased VAT increase, to 7% in 2027, 14% in 2028, and 22% from 2029.
If the measure is adopted, foreign goods on marketplaces could become noticeably more expensive.
Local Shoes Saved by Pricier Imports
The ministry backed higher VAT on foreign online orders.
Competition gets beaten by the price tag again.