By David Lawder

WASHINGTON (Reuters] – Russia keeps moving away from the 2012 World Trade Organization commitments, said the U.S. Trade Representative’s Office on Tuesday. The office cited import restriction policies and substitution policies for agricultural products.

USTR presented an annual report on Russia’s WTO compliance to Congress. USTR stated that Russia had introduced tracking systems for consignments along supply chain routes in 2021 and retained non-science-based import restrictions.

“Over the past year, Russia has continued its trajectory of an economy moving away from the guiding principles of the WTO: non-discrimination, freer trade, predictability, transparency, and fair competition,” USTR said in the report https://ustr.gov/sites/default/files/enforcement/WTO/2021%20Report%20on%20Russia’s%20WTO%20Compliance.pdf.

Russia is a country that maintains restrictions at the border, implements behind-the borders measures to prevent trade and has an industrial policy which seems to be driven by the guiding principles for import substitution and forced localeization.”

The United States has raised concerns about Russia’s actions and will “use all appropriate means to resolve the matter and keep Russia’s markets open to U.S. exports,” USTR said.

According to the report, bilateral U.S.-Russian cooperation on agriculture trade has been limited in 2014 because of Russia’s actions against eastern Ukraine. Engagement in WTO discussions on Russia’s access restrictions has also been restricted. The agency indicated that they will meet again with stakeholders in the industry to talk about their concerns and to devise strategies to eliminate such obstacles.

There were no mentions of any additional U.S. trade actions that could be taken to punish Russia in the event of a Russian president Vladimir Putin invading Ukraine. A Biden administration official said to Reuters that the U.S. is considering harsh export control measures in order to cripple Russia’s economy in case this happens. These include halting Moscow’s import of key airplanes, smartphones and parts, as well as stifling Russia’s ability for other material to be imported.