The Russian Ministry of Finance has announced its readiness to provide support to companies engaged in the extraction of rare earth metals, if necessary. Alexey Sazanov, State Secretary and Deputy Finance Minister, stressed that the support will be considered based on specific cases and critical needs for benefits.
Terms of support:
— Unprofitable projects: The Ministry of Finance is ready to consider tax incentives for unprofitable or near-unprofitable projects for the extraction of rare earth metals.
— Financial and economic justification: Support will be provided only if projects cannot be implemented without tax benefits.
— Budget constraints: Additional support is only possible in extreme situations, given the budget deficit.
In October 2024, it was proposed to reset the mineral extraction tax (MET) on the extraction of rare earth ores for existing enterprises for a period of at least 10 years. However, the final decision will depend on the specific circumstances and financial situation of the companies.