Rise in Iran-EAEU Trade

The value of trade between Iran and the members of the Eurasian Economic Union (EAEU) exceeded US$2.483 billion in the first six months of the current Iranian calendar year (March 21 – September 22) to register 40% growth compared to the previous year’s same period, IRNA reported. According to the spokesman of Islamic Republic of Iran Customs Administration (IRICA) Ruhollah Latifi, Iran traded 5,549,311 tons of commodities worth US$2,483,129,784 with the EAEU members, up also 12% in terms of weight, IRIB reported.

The Islamic Republic exported over 1.167 million tons of goods worth more than US$514.399 million to the EAEU in the period under review, 5% and 36% more than the previous year’s same period in terms of weight and value, respectively. During the said six months, the Russian Federation with US$270.394 million, Armenia with US$123.675 million, Kazakhstan with US$78.628 million, Kyrgyzstan with US$32.195 million, and Belarus with US$9.505 million of imports were the top destinations for the Iranian exports to the EAEU, according to Latifi. Iran also imported over 4.381 million tons of goods worth more than US$1.968 billion from the block in the mentioned period, registering 14.5% and 41% rise in terms of weight and value, respectively, the official said. Russian Federation with US$1.716 billion, Kazakhstan with US$234.77 million, Belarus with US$12.183 million, Armenia with US$4.627 million, and Kyrgyzstan with US$372,441 were the top five sources of Iranian imports.

Iran and Eurasian Economic Union reached a free trade agreement in October 2018 based on which about 862 commodity items were subjected to preferential tariffs. The interim agreement enabling the formation of a free trade area between Iran and the EAEU was signed on May 17, 2018, and officially came into force on October 27, 2019. Iran is a very important market in the region and the development of ties with this country is of high significance for the EAEU members (Russia, Belarus, Armenia, Kazakhstan, and Kyrgyzstan). The free trade agreement between Iran and this union has laid the ground for the expansion of trade ties between the two sides. The agreement with the bloc has increased Iran’s exports to the EAEU member states significantly, which is a turning point for the Islamic Republic's plans for boosting non-oil exports during the U.S. sanctions. - Tehran Times