$100m in Customs Tariff Reductions Through Eurasian Free Trade Agreement

TEHRAN (Iran News) According to the TPO, a meeting titled “Opportunities to Enter the Russian Market by Showcasing Export Capabilities in the Construction Industry” was held to highlight the advantages of the free trade deal with the EAEU. The agreement provides new opportunities for Iranian exports—particularly in building materials—given Russia’s strong demand in this sector.

During the session, TPO’s International Affairs Advisor, Mirhadi Seyyedi, emphasized the vast potential of the Eurasian market. He said that following the implementation of the Eurasian Free Trade Agreement on May 14, promising prospects have opened up, especially for construction materials exports.

Seyyedi described the agreement as a “bridge” that took eight years to build, stressing that now it is up to Iranian traders and businesses to cross it. He explained that the deal eliminates tariff barriers, reducing tariffs on 87% of HS codes to zero for trade with EAEU members.

“If Iranian exports to Eurasia reach last year’s level, traders will save about $50 million in customs tariffs this year,” Seyyedi said. “Likewise, the same applies to imports, meaning a total of about $100 million in economic benefits for Iranian businesses.” He further underlined that this is a permanent agreement and urged Iranian companies to adopt a long-term, strategic outlook toward the Eurasian market.

Also speaking at the meeting, Mahmoud Bazari, Director of the TPO’s Commodity Office Revitalization Project, described Russia’s market within the Eurasian bloc as a significant opportunity for Iran. He noted that since the outbreak of the Ukraine war, conditions have become more favorable for Iranian exporters. However, he stressed the importance of understanding Russia’s import standards and industrial, construction, and infrastructure networks. TPO trade attachés in Russia, he said, are monitoring these developments and will share their findings.

Bazari recalled that Iranian traders had previously faced challenges in agricultural and food exports to Russia. “Now, new protocols between Iran and Russia have eased the path for exports,” he said.

Regarding construction products, Bazari stressed the need to comply with regulatory and technical standards before shipping goods. “Russia’s construction market is growing rapidly and is aligned with global standards,” he explained. “Iranian traders must conduct proper research and planning before entering. If Iranian construction materials gain traction in Russia, it will also positively influence perceptions across other EAEU member states.”