European Commission promises better trade terms for Ukraine after 5 June
www.pravda.com.ua
Mon, 21 Apr 2025 15:27:20 +0300
The Ukrainian government, together with the European Commission, is working to avoid a return to the trade regime that was in place prior to 2022.
Source European Pravda Details If a new EU decision is not adopted by 5 June, the provisions of the EUUkraine Association Agreement will be reinstated by default which, according to experts, threatens a significant reduction in Ukrainian exports to the European Union.
A study by Veronika Movchan Institute for Economic Research and Ricardo Giucci Berlin Economics shows that losses for the Ukrainian economy in such a case are estimated at US1.5 billion, or nearly 4 of total exports. However, the European Commission firmly supports maintaining and improving the current trade regime.
In particular, Ursula von der Leyen, the President of the European Commission, during talks with Ukrainian Prime Minister Denys Shmyhal on 9 April, stated that the new trade conditions between Ukraine and the EU will be better than those in place before 2022.
This goal is expected to be achieved by revising the current free trade regime in accordance with Article 29 of the Association Agreement.
The Ukrainian side emphasises that the format of the future agreement is not essential.
The key priority is to preserve and enhance the access of Ukrainian goods to the European market.
For us, it doesnt really matter what cover the future trade regime between Ukraine and the EU is written under.
Whether its autonomous preferences, as it has been until now, or a free trade regime extended under Article 29 what matters to us is the result, not the label, the Ukrainian government stated.
Background On 13 May 2024, following lengthy and intense negotiations, the EU Council approved an extension of preferential trade measures with Ukraine for another year until 5 June 2025.
Regarding the future format of trade relations between Ukraine and the EU, tentative agreements were reached to integrate the dutyfree regime into the EUUkraine Association Agreement.
In February 2025, Ukraines First Deputy Prime Minister Yuliia Svyrydenko said during a joint meeting of the European Commission and the Ukrainian government that Kyivs priority for 2025 was to conclude consultations on trade liberalisation under Article 29 of the Association Agreement.
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