Germany will temporarily reduce value-added tax rates, a June 9 KPMG post said. The measure, in effect July 1-Dec. 31, will reduce the standard VAT rate from 19% to 16% and the VAT “reduced rate” from 7% to 5%, the post said. The reductions aim to help mitigate impacts of the COVID-19 pandemic.

The United Kingdom’s Export Control Joint Unit updated the list of companies approved to use the country’s open general trade control license for certain controlled goods, a June 9 notice said. The updated list includes more than 40 registered companies.

Ukraine passed a law to reestablish export value-added tax refunds for shipments of soybeans and rapeseed for “all exporters,” according to a U.S. Department of Agriculture Foreign Agricultural Service report released June 1. Previously, only agricultural producers directly handling oilseed exports were eligible for the 20% VAT refund, which put traders and small agricultural producers in a “disadvantaged position,” the USDA said.

The European Union and the United Kingdom have made “no substantial progress since the beginning” of negotiations over a permanent arrangement following the U.K.’s withdrawal from the EU at the end of January this year, said EU lead negotiator Michel Barnier in a June 5 statement. The two sides “cannot continue like this forever,” Barnier said, “especially given the United Kingdom's continued refusal to extend the transition period.”

The European Union will no longer require EU-wide export authorizations for personal protective equipment. The export authorization scheme, first announced in March (see 2003200029), was intended to ensure adequate EU supply of medical goods during the COVID-19 pandemic, the European Commission said in a May 26 notice. The commission said the scheme “served its purpose” and “there have been no requests to prolong the scheme.” It officially ended May 26.

Germany asked the European Union to impose sanctions on Russia for a 2015 cyberattack on Germany’s parliament, Germany’s Federal Foreign Office said May 28, according to an unofficial translation. Germany said it will ask the EU to invoke its “cyber sanctions regime … with respect to those responsible for the attack,” including Russian national Dmitri Badin. Germany issued an arrest warrant for Badin after alleging he worked with others to “carry out intelligence activities” against the country. Germany added that it is considering “further measures.”

European Union and Japanese leaders issued a May 26 joint statement laying out their commitments to trade cooperation and a reduction of trade barriers during the COVID-19 pandemic. The two sides, speaking during a video teleconference, said they are committed to sustaining the “flow of medical supplies, agricultural products, raw materials and other goods,” adding that any restrictive trade measures should be consistent with World Trade Organization Rules. Both sides also spoke against “unnecessary” export restrictions that may limit trade.

Russia is considering a draft bill that would allow imports of sanctioned goods under certain circumstances, according to a May 22 post on a Baker McKenzie blog. The bill, proposed earlier this month, will allow imports if the goods constitute “essential commodities that do not have analogues in Russia” or if Russia is experiencing a shortage of those goods due to the COVID-19 pandemic, Baker McKenzie said.

The United Kingdom and Poland agreed to build a “major infrastructure hub” outside Warsaw that will boost the region’s international transportation and improve trade, the U.K. said in a May 21 press release. The U.K. said the project will benefit British businesses and Poland’s trade prospects by providing another avenue to connect with trade partners. “Poland is an ever more important trade partner for the UK and I’m delighted that … British firms’ experience and expertise can be at the heart of delivering this major boost to Poland’s trade and prosperity,” U.K. Minister for Exports Graham Stuart said in a statement.

The European Council will temporarily extend certain certificates and licenses relating to road, rail and water transport and will relax rules on charging ships for using port infrastructure, the EC said May 20. The measures (see 2005120030) aim to help those in the transportation sector that are struggling to meet “certain administrative formalities before the expiry of the relevant deadlines,” it said. The European Union will also suspend “periodic checks in the road, rail, inland navigation and shipping sectors” and will give EU ports the option to suspend, reduce or defer port-related fees issued between March 1, 2020, and Oct. 31, 2020. The measures are expected to take effect this week.