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Iran EAEU Agreement: What You Need to Know

The Islamic Republic of Iran recently signed a temporary agreement with the Eurasian Economic Union (EAEU), which includes Russia, Armenia, Belarus, Kazakhstan, and Kyrgyzstan, among other states. This deal is expected to boost Iran`s economic ties with the EAEU member countries and expand its access to new markets. In this article, we`ll take a closer look at the Iran EAEU agreement and understand what it means for Iran`s economy.

What is the Iran EAEU Agreement?

The Iran EAEU agreement is a temporary agreement signed by Iran and the Eurasian Economic Union in May 2018. The agreement aims to reduce trade barriers and promote economic cooperation between Iran and the EAEU member states. The agreement is expected to facilitate the greater movement of goods and services between the parties and reduce tariffs on a range of items.

What are the Advantages of the Iran EAEU Agreement?

The Iran EAEU agreement has several advantages for Iran`s economy. Firstly, the agreement will provide Iran with greater access to the EAEU market, which has a population of over 180 million people. This represents a significant new market for Iranian businesses and will help to reduce the country`s reliance on exports to Europe and Asia.

Secondly, the agreement will help to boost trade and investment between Iran and the EAEU member states. The reduction of tariffs and other trade barriers will make it easier for Iranian companies to do business in the region and promote greater economic integration between Iran and the EAEU.

Finally, the Iran EAEU agreement will help to enhance Iran`s geopolitical position in the region. By forging closer economic ties with the Eurasian Economic Union, Iran is strengthening its ties with Russia and other countries in the region. This could help Iran to offset the effects of any future economic sanctions imposed by the West.

What are the Key Provisions of the Iran EAEU Agreement?

The Iran EAEU agreement covers a wide range of economic issues, including the reduction of tariffs, the protection of intellectual property rights, and cooperation in the areas of transport, customs, and technical regulations. The agreement also allows for the free movement of goods and services between Iran and the EAEU member states, subject to certain conditions.

Under the agreement, Iran has agreed to reduce tariffs on a range of EAEU goods, including steel products, machinery, and chemical products. The EAEU member states have also agreed to reduce tariffs on a range of Iranian goods, including agricultural and industrial products.

Conclusion

The Iran EAEU agreement is a significant development in Iran`s economic relations with the Eurasian Economic Union. The agreement is expected to boost trade and investment between Iran and the EAEU member states, provide Iran with greater access to a new market, and enhance Iran`s geopolitical position in the region. As the agreement is implemented, it will be interesting to see how it affects the economies of Iran and the EAEU member states and whether it paves the way for a longer-term economic partnership.