Uzbekistan and Turkmenistan Announce Removal of Customs Barriers and Launch Free Trade Regime
Uzbekistan and Turkmenistan Implement Free Trade Regime
On February 25, 2025, Uzbekistan and Turkmenistan officially launched a free trade regime, eliminating customs duties on most goods and streamlining trade procedures. This landmark agreement marks a significant step towards enhancing economic cooperation between the two neighboring countries.
The Ministry of Investment, Industry, and Trade of Uzbekistan confirmed the successful implementation of the agreement on March 7. The agreement, which is based on the “Agreement on the Main Directions of Long-Term Trade and Economic Cooperation Between the Governments of Uzbekistan and Turkmenistan,” signed on July 16, 2024, has undergone all necessary bilateral procedures for its enforcement. This protocol was further approved by the President of Uzbekistan through Resolution No. 29 dated January 27, 2025.
In 2024, the trade turnover between Uzbekistan and Turkmenistan amounted to $1.14 billion, reflecting a 5.5% increase compared to the previous year. The introduction of the free trade regime has eliminated existing trade barriers, waived customs duties on goods produced in both countries (with a few exceptions), and simplified trade processes.
For instance, customs duties have been lifted on locally manufactured cement products, textile fabrics, furniture, glass containers, water heating boilers, plastic and polypropylene products, sausages, meat products, and cottonseed oil imported into Turkmenistan. These measures aim to promote bilateral trade and strengthen economic ties between Uzbekistan and Turkmenistan.
It is important to note that Turkmenistan is not a member of the free trade zone within the Commonwealth of Independent States. The establishment of the free trade regime between Uzbekistan and Turkmenistan is expected to stimulate further economic growth and cooperation between the two nations in the coming years.
