The trade agreement between the European Union and Ukraine is a partnership that aims to boost trade and strengthen economic ties between the two entities. The agreement, which was signed in 2014, is considered a comprehensive trade agreement as it covers a wide range of areas such as goods, services, investment, and intellectual property rights. Here, we’ll discuss the key aspects of the EU-Ukraine trade agreement.
Tariff Reductions and Elimination
One of the main objectives of the trade agreement is to reduce and eliminate tariffs on goods traded between the EU and Ukraine. The agreement stipulates that Ukraine should eliminate tariffs on 98% of products traded with the EU, while the EU is expected to eliminate tariffs on 86% of products traded with Ukraine. This will create a level playing field for businesses in both regions, making it easier for them to trade with each other.
Another essential aspect of the trade agreement is customs cooperation. The agreement aims to simplify customs procedures, reduce the administrative burden on businesses, and facilitate trade between the EU and Ukraine. This includes the mutual recognition of customs procedures, which will speed up the clearance of goods at the border. Moreover, it will promote the efficient use of resources by reducing the time and cost of customs checks.
The trade agreement also includes provisions on investment protection. It seeks to promote and protect investment flows between the EU and Ukraine by providing legal protection to investors from one region investing in the other. The agreement provides a stable and predictable legal framework for investment, giving investors the confidence to invest in the Ukrainian market.
Intellectual Property Rights
The trade agreement also covers the protection of intellectual property rights (IPR). It provides a high level of protection for EU and Ukrainian businesses’ trademarks, patents, copyrights, and other forms of IPR. This will promote innovation, creativity, and investment in these sectors, spurring economic growth and development in both regions.
In conclusion, the EU-Ukraine trade agreement is an essential partnership that aims to promote trade, investment, and economic growth between the EU and Ukraine. By reducing and eliminating tariffs, simplifying customs procedures, protecting investments, and providing a high level of protection for IPR, the agreement creates a level playing field for businesses in both regions. This will help boost economic activity and create jobs, benefiting both the EU and Ukraine.