RUSSIA AND THE WORLD TRADE ORGANIZATION

Abstract Russia applied to join the WTO in 1993 and itsaccession is now making rapid progress, with possible entry in 2004. This paper discusses the economic and political factors associated with the Russian entry to WTO, focusing on tariffs, difficult sectors, services, IPRs and the environment,for FDI. The impacts of WTO accession on Russia’s domestic restructuring as well as on Russia’s relations with the EU are also analysed. While recognising the delicate political conditions, the paper suggests that Russia should seek to comply with the standard requirements for WTO entry, and - subject to some transitional adjustment periods - should allow access to the Russian market for western services sector companies. WTO accession was seen as helpful to Russia in the sense of locking in reforms, and promoting further market-oriented reforms. JEL Classification: F13, F14, P26 Keywords: World Trade Organization, Russia, liberalization, domestic policies, European Union,