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UAE and Eurasian Economic Union agree to lower customs duties

The trade agreement signed between the United Arab Emirates and the Eurasian Economic Union reduces customs duties on more than 85 product categories. The deal paves the way for increased trade, particularly in agriculture and industry.

UAE and Eurasian Economic Union agree to lower customs duties

The Comprehensive Economic Partnership Agreement between the UAE and the Eurasian Economic Union (EAEU) has officially entered into force. The agreement aims to boost trade and investment between the two sides.

Andrey Slepnyov, Minister of Trade of the Eurasian Economic Commission, stated that the UAE is now one of the EAEU’s top ten global trade partners. He noted that over the past two years, exports from the EAEU to the UAE have quadrupled, while UAE exports to EAEU countries have increased by more than 50%.

The agreement includes mutual reductions in customs duties across more than 85 product groups. Average tariffs on EAEU products entering the UAE will drop from 5% to 0.6%, while duties on UAE products entering the EAEU will fall from 5.9% to 1.5%.

Key beneficiaries on the EAEU side include steel, aluminum, and petrochemical products. The UAE, in turn, gains significant advantages in industrial goods, with tariff reductions covering 96.8% of its exports in areas such as petroleum derivatives, ships, and metal products.

Slepnyov emphasized that trade between the UAE and the EAEU has tripled since 2020, with annual growth rates exceeding 50%. With the agreement now in effect, this growth is expected to continue. Once the transition period ends, total trade volume between the two sides is projected to double in the coming years.

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