European Parliament approves Steep Tariffs on Russian Fertilizers and Agri-Food Imports

By Nimish Kumar, The International Parliament Journal (IPJ) | June 1, 2025 | Europe | No Comments

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On May 22, the European Parliament approved a significant proposal to impose steep tariffs on Russian fertilizers and agricultural products. The main goal is to cut the EU’s reliance on Russian imports while limiting Moscow’s ability to finance its war on Ukraine.

Previously introduced by the European Commission, the proposal moved swiftly through legislative channels. Notably, both the European Parliament and the Council adopted the measure without amendments. As a result, the new tariff regime is set to take effect on July 1, 2025.

European Parliament: New Tariffs- What Will Change

Under the approved regulation, the EU will implement a series of tariff increases:

First, tariffs on Russian nitrogen fertilizers will rise from 6.5% to 100% over the next three years.
Additionally, a 50% ad valorem duty will apply to agri-food imports from both Russia and Belarus.
Consequently, products such as meat, dairy, fruits, and vegetables—worth an estimated €380 million in previously duty-free trade—will now face steep import costs.

Overall, these changes are expected to significantly reduce or halt fertilizer imports from Russia.

European Parliament: Why the EU Is Imposing These Tariffs

According to the European Commission, over 25% of the EU’s fertilizer imports in 2023 came from Russia. Moreover, these numbers increased even further in 2024, underlining the EU’s economic dependence on Russian supply chains.

Therefore, the EU views this dependency as a strategic vulnerability—especially in the context of ongoing hostilities in Ukraine.

As MEP Inese Vaidere, rapporteur of the text, emphasized, “Any delay means lives lost in Ukraine.” By imposing these tariffs, the EU aims to prevent further contributions to Russia’s war economy through fertilizer trade.

Mixed Reactions Across Europe

Support from Industry

The European fertilizer industry responded positively. Organizations such as Fertilizers Europe endorsed the decision, calling it a necessary step that “balances strategic autonomy while allowing the market time to adjust.”

Similarly, Yara International CEO Svein Tore Holsether welcomed the move. He stated that it gives industry players sufficient time to shift supply chains while maintaining food production stability.

Concerns from Farmers

On the other hand, European farmers voiced serious concerns. Many warned that the tariffs could lead to fertilizer price increases of €40–45 per tonne in the coming seasons.

However, industry analysts have projected a more moderate rise—closer to €10 per tonne. Even so, farmers criticized what they see as a lack of viable alternatives.

For instance, the farming lobby Copa and Cogeca called on the Commission to consider temporary derogations from nitrate rules. This would allow greater use of natural manure as a substitute fertilizer.

Kremlin Response: “Europe Is Shooting Itself in the Foot”

Predictably, Russia condemned the EU’s decision. Kremlin spokesperson Dmitry Peskov said the tariffs would ultimately harm European consumers, leading to higher costs and lower quality in agriculture.

Despite this criticism, the EU remains committed to the plan. Importantly, the new regulation includes a monitoring mechanism. If fertilizer prices rise significantly above 2024 levels, the Commission may consider a temporary suspension of the additional duties.

What’s Next?

The next step is formal adoption by the Council, followed by publication in the Official Journal of the EU. Only then can the regulation officially enter into force on July 1, 2025.

Until then, EU institutions will work to prepare industries and address potential disruptions—particularly within the agriculture sector.

A Strategic Shift in EU Trade Policy

In conclusion, the EU’s decision reflects a clear and calculated shift in trade policy. It aims to:

Reduce economic dependency on Russia and Belarus,
Enhance strategic autonomy, and
Block financial flows that could support military aggression.

However, while the broader geopolitical goal is evident, the EU must now balance its strategy with the needs of European farmers, who remain wary of rising costs and limited alternatives.

As the July deadline approaches, all eyes will be on how the market responds—and how quickly the EU can implement supportive measures at home.