On June 27, 2025, during the meeting of the Eurasian Economic Council in Minsk, a significant milestone was reached with the signing of the economic partnership agreement between the Eurasian Economic Union and the United Arab Emirates. This agreement is set to transform trade dynamics between the two nations and is expected to elevate mutual trade volumes to an impressive $20 billion.
The United Arab Emirates stands out as a key trade partner for the Eurasian Economic Union among Gulf countries. The newly established partnership is anticipated to be a turning point in commercial relations, reinforcing economic ties and creating pathways for enhanced cooperation between the two regions. The agreement aims to substantially raise the level of trade, marking a significant evolution in bilateral relations.
Under the terms of the agreement, a preferential coverage of exports will encompass over 98% of the current trade flow, translating to more than $12.1 billion worth of goods. As part of the trade liberalization process, the average tariff imposed by the UAE on products from the Eurasian Economic Union is set to decrease dramatically from 5% to just 0.6%. This reduction is projected to save over $260 million annually in customs duties on imports.
Focusing on specific commodities, the agreement will provide preferential access for key agricultural products from the Eurasian Economic Union, including grains, meats, eggs, vegetable oils, and dairy products. Furthermore, this trade liberalization will extend to industrial goods, electrical equipment, vehicles, chemical products, and pharmaceuticals, showcasing a comprehensive approach to enhancing market access.
In response to this agreement, the United Arab Emirates will be able to increase its supply of a diverse range of consumer goods, such as cosmetics, perfumes, watches, and select clothing items. This enhancement in the product offering will benefit consumers in both regions and promote a robust exchange of goods.