Ukraine and Turkey have signed a Free Trade Agreement

The document was inked on February 3 in Kyiv in the presence of President of Ukraine Volodymyr Zelenskyy and President of the Republic of Turkey Recep Tayyip Erdoğan.

The agreement provides for the establishment of 0% duties on 10,337 commodity items with Turkey, which is 95% of the total number of goods exported by Ukraine. 1,348 more items will be subject to tariff quotas or reduced duties. The agreement also provides for the complete abolition of Turkish duties on industrial products.

Turkey opens the domestic market for Ukrainian metal, zero duty is set for 510 out of 840 metallurgical goods. For another 130 metallurgical goods, a partial reduction in duties was established.

In addition, Ukraine maintains duties on used cars and second-hand goods and establishes three- and five-year transitional periods of duties on vehicles and light industry products.

The agreement will have an overall positive effect on the economies of Ukraine and Turkey and is mutually beneficial for both countries. The agreement would allow for increasing trade with Turkey from $7.5 billion to $10 billion in 5 years. In the industries that will work for export, new jobs will be created, value added will be generated, taxes will be paid. Ukrainian exporters will save about $370 million annually on customs duties

According to preliminary forecasts, the deal will provide an additional 2.2% of our country's GDP and up to 2.6% of household income annually