Russia sets alloy-steel scrap export quotas through 2027

Two-stage quota limits exports outside the EAEU

The Russian government has introduced a tariff quota on exports of alloy-steel waste and scrap beyond the customs territory of the Eurasian Economic Union. According to InvestFuture, the measure was published on Russia’s official legal information portal and will take effect seven days after its official publication.

The quota will operate in two stages. From the date the resolution enters into force through December 31, 2026, exporters will be able to ship a combined 7,000 tonnes under the quota. A separate limit of 20,000 tonnes will apply from January 1 through December 31, 2027. PRIME also reported the two quota volumes following the government’s decision.

Measure covers three customs classifications

The restrictions apply to alloy-steel waste and scrap classified under Eurasian Economic Union commodity codes 7204 21 100 0, 7204 21 900 0 and 7204 29 000 0. The government adopted the decision under Article 36 of Russia’s law on customs tariffs.

Russia’s Ministry of Industry and Trade will allocate the quota among foreign-trade participants. Scrap collection companies supplying the domestic market will be eligible to receive allocations for exports to friendly countries at a preferential customs-duty rate. The information provided does not specify the preferential rate, the method of allocation or the individual destination markets.

Domestic mills are the policy priority

The Ministry of Industry and Trade said the measure should encourage greater collection of alloy-steel scrap and help meet rising demand from Russian plants for what it described as strategic raw material. By linking preferential export access to domestic-market supply, the government is giving collectors an incentive to offer material to Russian consumers before sending eligible volumes abroad.

For domestic mills, the quotas may improve access to alloy-bearing scrap by limiting the amount available to buyers outside the EAEU. For scrap processors and traders, however, the measure adds an administrative constraint and makes access to the export quota commercially important. Foreign buyers will face a relatively small available volume of 7,000 tonnes during the remainder of 2026, followed by a larger 20,000-tonne allowance in 2027. The impact on prices cannot yet be quantified because the published information provides no domestic or export price data, historical shipment volumes or estimates of Russian alloy-steel scrap collection. The practical effect will therefore depend on how the ministry distributes the quota, the level of domestic mill demand and whether eligible collectors consider preferential exports attractive after meeting local supply requirements.