Armenian government approves temporary free trade agreement between EAEU and Mongolia
YEREVAN, September 11. /ARКА/. During a meeting on Thursday, the Armenian government approved the draft interim free trade agreement between the EAEU and Mongolia.
The justification for this decision indicates that the agreement, which was signed in Minsk on June 27, 2025, aims to liberalize and simplify trade in goods between the involved parties. This includes the reduction of both tariff and non-tariff barriers, the promotion of economic and trade cooperation, and the encouragement of trade expansion and diversification between the parties.
The agreement addresses a broad spectrum of economic cooperation matters, particularly focusing on legal and horizontal obligations, the facilitation and simplification of mutual trade, customs regulations, sanitary and phytosanitary measures, e-commerce, dispute resolution, and other relevant areas.
Furthermore, the document ensures transparency in the regulatory procedures applied during the export and import of goods, while also adhering to WTO standards when implementing protective measures in trade.
An essential component of the agreement includes attached lists that feature 367 commodity items for each party, for which both parties are prepared to offer tariff preferences. The Armenian proposals primarily highlight goods that are of significant export interest to the Republic of Armenia.
It is emphasized that the opening of the Mongolian market to Armenian exporters will provide more competitive conditions for the supply of goods exported from Armenia, such as tobacco (with a duty rate of 30% in Mongolia), cognac (15% rate), chocolate (5% rate), mineral water (5% rate), and canned fruits (5% rate).
The concessions granted by Mongolia will encompass 98% of Armenia's exports to Mongolia. Consequently, the average customs duty rate on Armenian goods exported to Mongolia is expected to decrease from 7.5% to 1.2%. This reduction in customs duties may lead to annual savings of approximately $1 million for exports from Armenia to Mongolia. The agreement specifies a duration of 3 years, with the option for extension for an additional period.-0-
