Russian Duma ratifies updated deal with Kazakhstan on duty-free trade in oil and petroleum products

MOSCOW. June 25 (Interfax) - The Russian State Duma ratified an updated agreement with Kazakhstan establishing simplified procedures for the trade of oil and petroleum products in a meeting on Wednesday.

The document, numbered 930588-8, was submitted to parliament by the government in May, and the protocol was signed in Astana on November 27, 2024.

Under the revised terms, both countries will maintain duty-free trade for oil and petroleum products, exempt from export customs duties and equivalent taxes or fees. However, shipments will still be tracked: oil and petroleum products classified under Group 27 of the Eurasian Economic Union's customs code and exported from Russia to Kazakhstan must undergo customs declaration as if destined outside the EAEU. Pipeline exports, which were exempt from declaration between 2022 and 2024, will now enjoy permanent exemption under the updated agreement.

The protocol also removes a clause referring unresolved disputes to the Court of the Eurasian Economic Community, leaving consultations and negotiations as the sole means of conflict resolution.

The agreement's validity has been extended. Originally set to expire on Jan. 1, 2019, with automatic five-year renewals unless terminated, it will now remain in force until Jan. 1, 2028, with further five-year extensions possible unless either party gives at least six months' notice of withdrawal.

The protocol entered provisional application 10 days after being signed in Almaty, pending full legal ratification in both countries. During this transitional period, preferential treatment does not apply to export taxes and fees. It will take full effect once both nations confirm completion of domestic procedures via diplomatic channels.