EU and Ukraine agree on new trade rules

The European Union and Ukraine have agreed on a new long-term export agreement to replace the “trade visa-free regime.”

This was reported by ”Radio Svoboda”.

Ukraine and the EU have reached an agreement in principle on the renewal of the Deep and Comprehensive Free Trade Area agreement.

Ukraine will now be able to import more products into the EU than before the full-scale Russian invasion, but less than during peak periods during the “trade visa-free regime.”

European Commissioner for Trade and Economic Security Maroš Šefčovič said that for “sensitive” products, such as eggs, sugar and wheat, quotas are being increased, but they remain below historical trade volumes to ensure the stability of the EU market. For less sensitive products, quotas are increasing moderately, and some products will be fully liberalized.”

The agreement provides for a mechanism to protect the EU market in case imports from Ukraine create serious difficulties at the level of the Union or individual member states. In addition, Ukraine is expected to gradually align its agricultural production standards with those of the EU by 2028, in particular in the areas of animal welfare and pesticide use.

According to EU Commissioner for Agriculture and Food Christoph Hansen, additional market access will be granted subject to compliance with EU standards.

“Creating a level playing field for EU farmers was clearly defined in the vision for the agricultural sector, and now we are putting it into practice,” he noted.

Maroš Šefčovič said the new agreement was “balanced, fair and realistic” and would contribute to increased trade between the parties. He added that the volume of trade between the EU and Ukraine has more than doubled since the trade part of the Association Agreement entered into force, from €26 billion in 2016 to €67 billion in 2024. At the same time, the EU imports €18 billion more to Ukraine than Ukraine imports to the EU.

Šefčovič also suggested that Ukraine’s neighboring countries – Poland, Hungary, Slovakia – will lift unilateral embargoes that they have imposed against certain categories of Ukrainian products. The National Bank of Ukraine previously stated that due to the cancellation of the “visa-free trade” with the European Union, Ukrainian exporters will lose approximately $800 million by the end of the year.