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The Free Trade Agreement signed between Türkiye and Ukraine

The Free Trade Agreement signed between Türkiye and Ukraine on February 3 entered into force.

The Free Trade Agreement signed between Türkiye and Ukraine

President Volodymyr Zelensky and President Recep Tayyip Erdogan signed the agreement on a free trade zone between Ukraine and Türkiye in Kyiv on Feb. 3, 2022. The idea for the free trade zone agreement first emerged in 1998, but talks did not officially begin until 2007. Negotiations stalled for years due to disagreements over grains and metal.

Once the agreement is implemented, Ukraine will abolish import duties for 56% of industrial goods and 11.5% of agricultural goods. Türkiye will abolish import duties for 93.4% of industrial goods and 7.6% of agricultural goods.

Ukraine’s Ministry of Economy previously said Türkiye would set a zero import duty on 510 of 840 metallurgical products with the free trade agreement. Import duties at lowered rates would also apply to another 130 products.

To facilitate development of the domestic metallurgical sector, Ukraine, however, reserved the right to charge customs duty on scrap metals exports, the Ukrainian ministry noted.

More details are expected from the ministry in the coming days.

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