The WTO announced Feb. 5 that its members have approved Ukraine ’s request to join the organization. The former Soviet state must now ratify the agreement by July 4 and will officially become a WTO member 30 days after ratification.

A USTR press release stated that Ukraine has largely already implemented the commitments made in its accession agreement and that most of the rest will take effect immediately upon accession. In 2007 alone, the USTR noted, Ukraine passed more than 40 laws and additional regulations to implement WTO agreements, including conforming changes on import licensing, export taxation, intellectual property rights protection, sanitary and phytosanitary measures, standards, subsidies, and customs procedures. U.S. officials said Ukraine ’s membership in the WTO will facilitate a broader and deeper trade and investment relationship with the U.S.

The WTO reports that Ukraine ’s accession commitments include the following related to market access for goods and services.

• Customs duties are capped at rates between zero and 50 percent (bound rates). Some bindings involve reductions phased in over a period of up to 2013.
• The highest tariffs allowed are on items such as sugar (50 percent) and sunflower seed oil (30 percent). Other products with tariff ceilings of 25 percent include certain radio broadcast receivers, catgut and certain conveyor/transmission belts.
• Tariffs will initially or eventually be eliminated on product categories that include civil aircraft, construction equipment, distilled spirits, certain types of fish, pharmaceuticals, certain chemicals and petroleum oils, medical equipment, wood, pulp and paper, certain yarn and fabric, certain base metals, steel, information technology products, furniture and toys.
• No “other duties and charges” beyond ordinary customs duties will be applied.
• Agriculture exports will not be subsidized.
• A tariff quota will be opened on raw cane sugar (260,000 tons annually, increasing to 267,000 tons by 2010), to be administered on a first-come first-served basis within three years of accession.
• Specific commitments have been made in all 11 “core” service sectors — including business services, communication services, construction and related engineering services, distribution, education and environmental services, financial services (insurance and banking), health and social services, tourism and travel, recreational, cultural and sporting services, and transport services — as well as in other areas including beauty, hairdressing, spa and massage services.