The Eurasian Economic Union, often known as the EEU or EAEU, is a grouping of post-Soviet nations in Eurasia. The Treaty on the Eurasian Economic Union was signed on May 29, 2014, and went into effect on January 1, 2015. It was signed by the leaders of Belarus, Kazakhstan, and Russia. On October 9 and December 23, 2014, respectively, agreements were made paving the way for Armenia and Kyrgyzstan to join the Eurasian Economic Union. The accession agreement with Armenia became effective on January 2, 2015. The accession agreement with Kyrgyzstan became official on August 6, 2015. As an acceding state, Kyrgyzstan joined the EAEU on its first day of operation. In April 2017, Moldova received Observer Status. On December 11, 2020, Cuba and Uzbekistan were admitted as observers. Uzbekistan is anticipated to become a full member by 2022 or 2023 following the presidential elections in December 2021.
Purpose
The EAEU promotes the unrestricted flow of goods and services and establishes common policies in the macroeconomic area, transportation, business, and industry. Policies are also established in agriculture, energy, international trade and investment, customs, technical regulation, competition, and antitrust law. Plans include provisions for a unified currency and deeper integration. Institutions at the supranational and intergovernmental levels support the union’s operations. The Heads of the Member States make up the Supreme Eurasian Economic Council, which is the highest body of the Union. The Eurasian Intergovernmental Council is a representative of the second tier of intergovernmental institutions (consisting of the Heads of the governments of member states). The Eurasian Economic Commission, the Union’s executive body, handles the day-to-day operations of the EAEU. The Court of the EAEU serves as a judicial body in addition.
History
Russia and the Central Asian republics experienced economic weakness and GDP decreases in the 1990s. The union’s member nations underwent privatization and economic reforms. Immediately following the dissolution of the Soviet Union, the Eurasian integration process got underway. As the USSR started to disintegrate in 1991, the presidents of the founding republics of Belarus, Kazakhstan, and Russia signed the Belavezha Accords on December 8, 1991. This announced the end of the Soviet Union and the establishment of the Commonwealth of Independent States in its place. The first President of Kazakhstan, Nursultan Nazarbayev, proposed the notion of establishing a “Eurasian Union” as a regional trade union in 1994 at a lecture at Moscow State University. The aim would be to connect with and benefit from the expanding economies of Europe and East Asia. The goal is to streamline the free movement of products throughout Eurasia. The plan gained support as a strategy to increase commerce, attract more investment to Central Asia, Armenia, and Belarus, and round out the Eastern partnership.
Establishing the single market and customs union
On January 1st, 2010, Belarus, Kazakhstan, and Russia established their customs union, which is today known as the Eurasian Customs Union. Priorities for the Customs Union included the abolition of intra-block tariffs, the development of a unified external tariff policy, and the removal of non-tariff barriers. It was formed as a first step toward creating a larger common market that was influenced by the European Union to create an alliance amongst former Soviet states. After July 2011, all customs barriers between the member states were to be eliminated as part of the member states’ continued economic integration. The three countries created the Eurasian Economic Space on January 1, 2012. The agreement created the Eurasian Economic Commission and outlined a roadmap for future integration (modeled on the European Commission). The Single Economic Space, the Eurasian Economic Union, and the Eurasian Customs Union are all governed by the Eurasian Economic Commission.
Eurasian Economic Union Treaty
The Eurasian Economic Union will be established by 2015, according to a deal signed by the presidents of Belarus, Kazakhstan, and Russia on November 18. A joint commission for promoting deeper economic connections was formed by the member states. The Eurasian Economic Union Treaty was signed on May 29, 2014, by the presidents of Kazakhstan, Belarus, and Russia, and went into effect on January 1, 2015. Additionally present at the signing event were the presidents of Kyrgyzstan and Armenia. Politicians from Kazakhstan highlighted that the Eurasian Economic Union was only meant to be an economic union and not a political one. All three states’ parliaments had approved the treaty by October. A Treaty to include Armenia in the EAEU was signed on October 9, 2014. On December 23, 2014, Kyrgyzstan signed the Treaty, and on August 6, 2015, it joined the Eurasian Union.
Russia’s invasion of Ukraine
The US and EU imposed sanctions on Russia and Belarus as a result of Russia’s invasion of Ukraine. To protect its food supplies, Russia halted its shipments of wheat, mesin, rye, barley, and corn to the Eurasian Economic Union on March 10, 2022. On April 1, 2022, the embargo was lifted, but additional controls on the food trade were also put in place. Despite being a member of the EAEU, a Kazakh government official declared on March 29 that Kazakhstan would adhere to US and EU sanctions and would not facilitate any circumvention.
