The expert explained the need to reset import duties on fuel in the EAEU

The decision of the Council of the Eurasian Economic Commission (EAEU) to reset import duty rates is a necessary measure aimed at stabilizing the market. This opinion was expressed by an independent expert of the fuel market, Vladimir Demidov, in an interview with Izvestia.

The EAEU countries, primarily Russia and Belarus, are facing gasoline shortages and rising prices. The main reasons for this are the increase in domestic demand and scheduled repairs of refineries.

"Zeroing duties will create an economic incentive for imports, allowing them to quickly saturate the market and restrain further price increases, acting as an anti—crisis regulatory tool," the source said.

The bulk of fuel imports within the EAEU traditionally accounted for mutual supplies, mainly from Russia to Kazakhstan, Kyrgyzstan and Belarus, the expert recalls. However, in the context of domestic shortages in Russia, this model has failed. In 2023, Kazakhstan, for example, was forced to increase imports from Turkmenistan and Azerbaijan.

Zeroing import duty rates will lead to a significant increase in imports of motor fuels, primarily from countries outside the EAEU, Demidov predicts. Supplies from refineries in Turkey, Azerbaijan and the Middle East, which were previously less competitive due to the customs barrier, are expected to increase. Saudi Arabia, the United Arab Emirates and India, which have significant refining capacities, may also become key external suppliers.

Whether an increase in imports will help lower gasoline prices is discussed in the Izvestia article.

"Anti-crisis maneuver: the EEC has reset import duty rates for fuel"