Uzbekistan and Turkmenistan introduce free trade regime

A free trade regime between Uzbekistan and Turkmenistan officially came into effect on February 25, according to the Ministry of Investments, Industry, and Trade of Uzbekistan.  

Under this new regime, customs duties on goods produced in both countries have been eliminated, with certain exceptions. Additionally, existing trade restrictions have been lifted, and trade procedures have been simplified to facilitate smoother economic cooperation.  

The removal of customs duties applies to several key Uzbek exports to Turkmenistan, including:  

- Cement products – previously subject to a 100% duty  
- Textiles and furniture – 50% duty removed  
- Glass containers – 50% duty removed  
- Water heaters – 15% duty removed  
- Plastic and polypropylene products – 10% duty removed  
- Sausages and meat products – previously taxed at $2 per kg  
- Cottonseed oil – previously taxed at $1 per kg  

The introduction of this duty-free trade regime is expected to boost bilateral trade by fostering investment and industrial cooperation between Uzbekistan and Turkmenistan. The move is anticipated to expand trade volumes and create new economic opportunities for businesses in both countries.  

Furthermore, responsible ministries and agencies will work to ensure that Uzbek businesses effectively utilize the free trade framework to increase exports to Turkmenistan.  

This development follows recent reports that Uzbekistan has become Pakistan’s largest trading partner in Central Asia, further highlighting the country's growing role in regional trade.