Listen to this Article Now
People familiar with the construction industry have indicated that Russia is looking at introducing measures to cool a rally in steel price to the highest in more than a decade and also support the construction industry.
One of the options they are looking at to support the construction sector is a mechanism that could be used to tax sales over a certain price to provide funds to improve the industry and this is the government decision.
The two people are familiar with the government’s decision and asked to behold anonymous noted that the move was proposed by the Industry Minister.
According to Interfax, Maxim Reshetnikov, Economy Minister on Wednesday said he doesn’t see a formula-based export tax as necessary because it may lead to some steel product shortages.
The newswire cited him saying that though some ministers have pushed for such a tax, it makes it more sense to support steelmakers customers.