Latest news with #DeepandComprehensiveFreeTradeArea
Saudi Gazette
6 hours ago
- Business
- Saudi Gazette
EU and Ukraine strike less ambitious but 'realistic' trade deal
BRUSSELS — A revised version of the Deep and Comprehensive Free Trade Area (DCFTA) – the primary trade framework between the EU and Ukraine – was agreed in principle on Monday, following intensive weekend talks with Ukrainian counterparts, the European Commission announced. "Ukraine's place is in the family. We remain committed to a path of mutual growth and stability, leading to its full integration in our Union,' European Commission president Ursula von der Leyen wrote in a note after the announcement of the deal. Since 2022, trade between the two partners has been governed by Autonomous Trade Measures (ATMs), a temporary framework introduced after Russia's full-scale invasion. The ATMs eliminated all tariffs and quotas on Ukrainian agricultural exports to the EU, offering crucial access to European markets during wartime, particularly for commodities such as grain, maize, eggs, and poultry. Agriculture Commissioner Christophe Hansen described the ATMs as 'exceptional instruments offering a very high level of unilateral liberalisation on a yearly basis since 2022.' The new agreement is less ambitious than the previous scheme which expired earlier this month, but aims to strike 'the right balance between supporting Ukraine's trade with the Union and addressing the sensitivities of a number of EU agriculture sectors and related concerns,' Hansen ATM arrangement had provoked backlash in several EU countries – notably France and Poland – where farmers protested over the surge in Ukrainian imports following the lifting of trade barriers.'This agreement opens a new chapter in EU-Ukraine trade relations, setting out a long-term, predictable and reciprocal framework,' said EU Trade Commissioner Maroš Šefčovič, calling the deal 'balanced, fair, and realistic.'While the full text of the agreement has not yet been published, some initial details have been has committed to gradually aligning its agricultural production standards—including animal welfare and pesticide use—with those of the EU by 2028, in line with its EU accession safeguard mechanisms will be introduced to protect EU markets, particularly in cases where imports could cause significant disruption at either the EU-wide or national sensitive products like eggs, sugar and wheat, quotas will be increased but kept below historical trade volumes to maintain market stability. Less sensitive items will see moderate quota sensitivity of each product was determined based on past market disturbances and the EU's ability to absorb additional imports, according to the to the 2016 DCFTA, the new quotas mark an improvement, though they remain more restrained than the full liberalisation granted under the products will be fully liberalised, such as dairy goods like whole milk powder and fermented milk, as well as mushrooms and grape has also agreed to significantly increase quotas for pork, poultry, and sugar imports from the EU, while reducing or eliminating duties on other products. The Commission believes this will enhance export opportunities for EU farmers, particularly in member states bordering sides will now work to finalise the technical aspects of the agreement. The Commission will present the deal to EU member states and the European Parliament in the coming the EU side, the Commission will propose a Council decision to formally endorse the agreement. Final adoption will take place through the EU-Ukraine Association Committee.Šefčovič expressed confidence that member states would support the deal, saying: 'Once we present the outcome of these negotiations, engage in detailed explanations, and show how this agreement is beneficial - not only for Ukraine but also for EU farmers - we believe we will have the necessary support.'He emphasised that the deal brings 'much-needed stability and predictability to EU-Ukraine trade relations,' especially with a view toward Ukraine's future accession to the two parties also agreed to revisit this agreement in the coming years, taking into account Ukraine's economic integration and progress on alignment with EU standards. — Euronews
Euronews
11 hours ago
- Business
- Euronews
EU and Ukraine strike less ambitious but 'realistic' trade deal
A revised version of the Deep and Comprehensive Free Trade Area (DCFTA) – the primary trade framework between the EU and Ukraine – was agreed in principle on Monday, following intensive weekend talks with Ukrainian counterparts, the European Commission announced. "Ukraine's place is in the family. We remain committed to a path of mutual growth and stability, leading to its full integration in our Union,' European Commission president Ursula von der Leyen wrote in a note after the announcement of the deal. Since 2022, trade between the two partners has been governed by Autonomous Trade Measures (ATMs), a temporary framework introduced after Russia's full-scale invasion. The ATMs eliminated all tariffs and quotas on Ukrainian agricultural exports to the EU, offering crucial access to European markets during wartime, particularly for commodities such as grain, maize, eggs, and poultry. Agriculture Commissioner Christophe Hansen described the ATMs as 'exceptional instruments offering a very high level of unilateral liberalisation on a yearly basis since 2022.' The new agreement is less ambitious than the previous scheme which expired earlier this month, but aims to strike 'the right balance between supporting Ukraine's trade with the Union and addressing the sensitivities of a number of EU agriculture sectors and related concerns,' Hansen said. The ATM arrangement had provoked backlash in several EU countries – notably France and Poland – where farmers protested over the surge in Ukrainian imports following the lifting of trade barriers. 'This agreement opens a new chapter in EU-Ukraine trade relations, setting out a long-term, predictable and reciprocal framework,' said EU Trade Commissioner Maroš Šefčovič, calling the deal 'balanced, fair, and realistic.' Key provisions While the full text of the agreement has not yet been published, some initial details have been disclosed. Ukraine has committed to gradually aligning its agricultural production standards—including animal welfare and pesticide use—with those of the EU by 2028, in line with its EU accession aspirations. Robust safeguard mechanisms will be introduced to protect EU markets, particularly in cases where imports could cause significant disruption at either the EU-wide or national level. For sensitive products like eggs, sugar and wheat, quotas will be increased but kept below historical trade volumes to maintain market stability. Less sensitive items will see moderate quota increases. The sensitivity of each product was determined based on past market disturbances and the EU's ability to absorb additional imports, according to the Commission. Compared to the 2016 DCFTA, the new quotas mark an improvement, though they remain more restrained than the full liberalisation granted under the ATMs. Some products will be fully liberalised, such as dairy goods like whole milk powder and fermented milk, as well as mushrooms and grape juice. Ukraine has also agreed to significantly increase quotas for pork, poultry, and sugar imports from the EU, while reducing or eliminating duties on other products. The Commission believes this will enhance export opportunities for EU farmers, particularly in member states bordering Ukraine. Next Steps Both sides will now work to finalise the technical aspects of the agreement. The Commission will present the deal to EU member states and the European Parliament in the coming days. On the EU side, the Commission will propose a Council decision to formally endorse the agreement. Final adoption will take place through the EU-Ukraine Association Committee. Šefčovič expressed confidence that member states would support the deal, saying: 'Once we present the outcome of these negotiations, engage in detailed explanations, and show how this agreement is beneficial - not only for Ukraine but also for EU farmers - we believe we will have the necessary support.' He emphasised that the deal brings 'much-needed stability and predictability to EU-Ukraine trade relations,' especially with a view toward Ukraine's future accession to the EU. The two parties also agreed to revisit this agreement in the coming years, taking into account Ukraine's economic integration and progress on alignment with EU standards.
Euronews
15 hours ago
- Business
- Euronews
EU and Ukraine strike less ambitious but ‘realistic' trade deal
A revised version of the Deep and Comprehensive Free Trade Area (DCFTA) – the primary trade framework between the EU and Ukraine – was agreed in principle on Monday, following intensive weekend talks with Ukrainian counterparts, the European Commission announced. "Ukraine's place is in the family. We remain committed to a path of mutual growth and stability, leading to its full integration in our Union,' European Commission president Ursula von der Leyen wrote in a note after the announcement of the deal. Since 2022, trade between the two partners has been governed by Autonomous Trade Measures (ATMs), a temporary framework introduced after Russia's full-scale invasion. The ATMs eliminated all tariffs and quotas on Ukrainian agricultural exports to the EU, offering crucial access to European markets during wartime, particularly for commodities such as grain, maize, eggs, and poultry. Agriculture Commissioner Christophe Hansen described the ATMs as 'exceptional instruments offering a very high level of unilateral liberalisation on a yearly basis since 2022.' The new agreement is less ambitious than the previous scheme which expired earlier this month, but aims to strike 'the right balance between supporting Ukraine's trade with the Union and addressing the sensitivities of a number of EU agriculture sectors and related concerns,' Hansen said. The ATM arrangement had provoked backlash in several EU countries – notably France and Poland – where farmers protested over the surge in Ukrainian imports following the lifting of trade barriers. 'This agreement opens a new chapter in EU-Ukraine trade relations, setting out a long-term, predictable and reciprocal framework,' said EU Trade Commissioner Maroš Šefčovič, calling the deal 'balanced, fair, and realistic.' Key provisions While the full text of the agreement has not yet been published, some initial details have been disclosed. Ukraine has committed to gradually aligning its agricultural production standards—including animal welfare and pesticide use—with those of the EU by 2028, in line with its EU accession aspirations. Robust safeguard mechanisms will be introduced to protect EU markets, particularly in cases where imports could cause significant disruption at either the EU-wide or national level. For sensitive products like eggs, sugar and wheat, quotas will be increased but kept below historical trade volumes to maintain market stability. Less sensitive items will see moderate quota increases. The sensitivity of each product was determined based on past market disturbances and the EU's ability to absorb additional imports, according to the Commission. Compared to the 2016 DCFTA, the new quotas mark an improvement, though they remain more restrained than the full liberalisation granted under the ATMs. Some products will be fully liberalised, such as dairy goods like whole milk powder and fermented milk, as well as mushrooms and grape juice. Ukraine has also agreed to significantly increase quotas for pork, poultry, and sugar imports from the EU, while reducing or eliminating duties on other products. The Commission believes this will enhance export opportunities for EU farmers, particularly in member states bordering Ukraine. Next Steps Both sides will now work to finalise the technical aspects of the agreement. The Commission will present the deal to EU member states and the European Parliament in the coming days. On the EU side, the Commission will propose a Council decision to formally endorse the agreement. Final adoption will take place through the EU-Ukraine Association Committee. Šefčovič expressed confidence that member states would support the deal, saying: 'Once we present the outcome of these negotiations, engage in detailed explanations, and show how this agreement is beneficial - not only for Ukraine but also for EU farmers - we believe we will have the necessary support.' He emphasised that the deal brings 'much-needed stability and predictability to EU-Ukraine trade relations,' especially with a view toward Ukraine's future accession to the EU. The two parties also agreed to revisit this agreement in the coming years, taking into account Ukraine's economic integration and progress on alignment with EU standards.
Yahoo
27-05-2025
- Business
- Yahoo
EU explains what comes next for Ukraine as trade liberalisation nears expiry
Transitional measures approved by the European Commission on 22 May will take effect from 6 June 2025 following the end of the autonomous trade measures (ATM), which provide a preferential trade regime for Ukrainian exporters. These measures will grant access to tariff quotas within the existing Deep and Comprehensive Free Trade Area (DCFTA) between Ukraine and the EU. Source: European Commission spokesperson Balazs Ujvari, as reported by a correspondent of European Pravda Details: Ujvari said the transitional measures will take effect on 6 June to replace the trade visa-free regime with Ukraine, returning Ukrainian exporters to tariff quotas within the framework of the existing free trade area between Ukraine and the EU. "The Commission is currently working on the review of the EU-Ukraine Deep and Comprehensive Trade Area (DCFTA), with a view to offering longer-term predictability and stability to EU and Ukrainian operators, including in the perspective of the accession of Ukraine to the EU," he said. Ujvari notes that transitional measures will remain in place until Ukraine and the EU complete negotiations on amendments to the existing DCFTA. The revised agreement will include long-term conditions for Ukrainian exporters to the EU, incorporating elements of trade liberalisation. "In order to avoid a possible cliff-edge scenario on 5 June when the ATMs expire, the Commission has prepared transitional measures that will be in place until the DCFTA review negotiations are finalised. These measures take the form of an Implementing Act, which Member States voted on today [22 May] at a meeting of the Committee for the Common Organisation of Agricultural Markets," the spokesperson said. This act, the text of which is available to European Pravda, will provide access to tariff quotas for products originating from Ukraine under the current DCFTA. "The volumes of the quotas available until the end of 2025 will amount to 7/12 of the normal yearly volumes, given that they will be open as of 6 June only and therefore be open for 7 months only this year," Ujvari said. "Additionally, the management of certain quotas normally managed with licences will temporarily switch to a lighter management mode ('first come first served') to ensure that imports from Ukraine benefit from the preferential trade regime under the DCFTA as of the first day the ATM ceases to apply (6 June)," he added. In simple terms, Ukrainian products that required export licences to the EU before 2022 are temporarily exempt from this requirement. Quotas will be allocated on a first-come, first-served basis and will be exhausted as Ukrainian exporters conduct foreign economic operations. Background: European Pravda previously reported that the European Commission adopted a list of transitional measures on Ukrainian exports to the EU on 22 May, which will take effect on 6 June 2025 following the expiry of autonomous trade measures for Ukraine. Back in late April, European Pravda reported that the European Commission did not plan to extend the ATM regime for Ukraine, which remains in effect until 5 June, but would ensure a smooth transition to a new scheme in which all trade liberalisation conditions will be embedded in the EU-Ukraine Free Trade Agreement. The European Parliament voted in favour of introducing a preferential regime for the export of Ukrainian steel and iron from 6 June 2025. Support Ukrainska Pravda on Patreon!
Yahoo
23-05-2025
- Business
- Yahoo
EU to restore quotas on Ukrainian farm imports in June, Bloomberg reports
The European Union has agreed to reintroduce import quotas on several Ukrainian agricultural products starting June 6, Bloomberg reported on May 23. The move marks a significant shift in EU trade policy toward Kyiv, as bloc members seek to balance wartime support for Ukraine with growing domestic unrest from European farmers. The quotas were eliminated at the beginning of Russia's full-scale invasion in 2022. Their reintroduction was approved by the European Commission on May 22. While no EU member voted against the new measure, several — including Sweden, the Czech Republic, Denmark, Estonia, Finland, Germany, Ireland, and Lithuania — abstained. The decision comes after protests across Central and Eastern Europe, where farmers argued that the influx of lower-cost Ukrainian goods has depressed local prices and undermined their livelihoods. Polish farmers and truckers in particular have staged repeated blockades at the Ukrainian border since 2023 to protest duty-free imports. Agricultural exports are critical to Ukraine's wartime economy, and EU market access has served as a lifeline following Russia's 2022 invasion, which severely disrupted Black Sea shipping lanes. In response, the EU introduced a duty- and quota-free regime in June 2022 to ease the flow of Ukrainian goods to global markets. The agreement has been extended twice, most recently until June 5. The European Commission said the quotas are temporary and that talks are underway to revise the EU-Ukraine Deep and Comprehensive Free Trade Area (DCFTA), the broader legal framework governing bilateral trade. Read also: Editorial: Russia just said it doesn't want peace in Ukraine. This is what you need to do We've been working hard to bring you independent, locally-sourced news from Ukraine. Consider supporting the Kyiv Independent.
