Most UK–Ukraine trade will remain tariff-free until at least 2029, thanks to an extension announced by the UK Minister of State for Trade Policy, Greg Hands, to support Ukraine’s long-term economic recovery from the war with Russia.
The UK was the first country to remove tariffs on all its trade with Ukraine two years ago. In May 2022, the UK removed all tariffs under the UK–Ukraine Free Trade Agreement (FTA) until March 2024. This precedent has been followed by similar initiatives from the EU and other partners.
Mr Hands said: “This agreement provides much needed long-term economic support to Ukraine, its businesses and people — critical to its recovery from Putin’s illegal invasion. The UK will continue to do everything in its power to support Ukraine’s fight against Putin’s invasion, for as long as is needed.”
This latest agreement will see tariff-free trade extended on all goods for five years, except eggs and poultry which will be extended for two years.
Ukraine has also agreed to match the UK’s approach, meaning British businesses can also benefit from tariff-free exports to Ukraine.
The announcement has been welcomed by the British Chambers of Commerce (BCC) with its Head of Trade Policy, William Bain, saying: “Alongside the Digital Trade Agreement, which aims to bolsters e-commerce trade between our countries, this extension will boost opportunities for Ukrainian business in key sectors such as oils, grains and other agri-foods.”
