Connect with us

World

EU-Ukraine trade reset: What comes after tariff-free access expires?

Published

on

EU-Ukraine trade reset: What comes after tariff-free access expires?
ADVERTISEMENT

Since 2022, trade between the EU and Ukraine has been governed by a temporary framework known as Autonomous Trade Measures (ATMs). Introduced after Russia’s full-scale invasion, the ATMs eliminated all tariffs and quotas on Ukrainian agricultural exports to the EU.

This offered a critical lifeline access to European markets for Ukrainian producers, especially for agricultural commodities such as grains, maize, eggs, and poultry, sustaining the country’s wartime economy.

However, the ATM scheme is due to expire on Thursday, and it cannot be renewed, having already been extended once.

Despite efforts since late 2024, the European Commission has failed to secure a permanent or improved replacement, leaving both Ukrainian exporters and EU policymakers scrambling.

This delay has frustrated several EU member states, many of whom had expected the Commission to secure a sustainable agreement with Ukraine ahead of the expiration deadline.

Advertisement

The political timing didn’t help: the Commission faced considerable pressure to avoid inflaming domestic tensions, particularly in Poland, where farmers have protested against the influx of Ukrainian imports.

With Poland’s presidential elections now behind, Brussels hopes negotiations for a longer-term trade framework can finally move forward.

Tariffs are reinstated

What happens when the tariff-free scheme expires? The most immediate consequence is the reintroduction of tariffs on Ukrainian agricultural goods.

In practical terms, this resets trade conditions between Ukraine and the EU to the situation before Russia’s 2022 invasion, with tariff lines and quotas from the pre-ATM era reinstated.

According to Ukrainian officials, this could cost the country over €3 billion annually in lost export revenue.

Advertisement

Because the year is nearly half over, quota limits will be applied on a seven-twelfths basis for the remainder of 2025, proportionally reflecting the reduced time window.

The impact will be significant. In 2024, nearly 60% of Ukraine’s total exports went to the EU, up from just over 39% in 2021, before the ATMs came into force.

The free access to EU markets has been a pillar of Ukraine’s economic resilience during wartime, helping to stabilise currency flows and sustain public funding.

This will have consequences for Ukraine’s war effort too

The loss of preferential market access is not merely an economic inconvenience: it could have direct consequences for Ukraine’s ability to fund its war effort.

Vitalii Koval, Ukraine’s minister of agrarian policy and food, highlighted during a recent visit to Brussels that agriculture represents a much larger share of Ukraine’s economy than it does in the EU.

Advertisement

One in five Ukrainians works in the agricultural sector, and its performance directly influences national revenues.

Ukrainian MP Yevheniia Kravchuk warned that failure to secure even a partial solution could result in a 1% drop in GDP, further straining the country’s wartime finances.

“Ukrainian companies have shifted their markets toward the EU. If exports decrease, tax revenues drop, those same taxes that fund our military,” she told Euronews.

The reintroduction of tariffs is also expected to suppress producer prices, increase market uncertainty and discourage private investment, hampering both recovery and reconstruction efforts in the longer term.

A stopgap while a new deal is negotiated

To avoid a sudden rupture in trade flows, the European Commission has prepared transitional measures to apply after the expiration of the ATMs. These were quietly approved two weeks ago by EU ambassadors as a precautionary step, though full details have yet to be published.

Advertisement

A European Commission spokesperson described the transitional measures as a “bridge” to allow time for a more comprehensive review of the EU-Ukraine Deep and Comprehensive Free Trade Area (DCFTA), which is the long-term trade agreement underpinning relations before the ATMs.

Crucially, the Commission has stated that future trade will be based on the DCFTA, not an extension of the emergency ATMs.

This marks a clear shift, disappointing Ukrainian hopes of maintaining the same level of market access they enjoyed under the tariff-free regime.

Negotiations toward a revised DCFTA began formally with a meeting in Brussels on Monday afternoon. While details remain scarce, a Commission spokesperson said more clarity is expected “in the coming days”.

Earlier that day, EU ambassadors met to reaffirm the importance of establishing long-term, predictable trade relations with Ukraine, while also ensuring protections for European farmers, a politically sensitive group in several member states.

Advertisement

“It is an extremely important decision to be taken,” said MP Kravchuk. “When I hear that, since the full-scale invasion, the EU has spent more on Russian gas and oil than on aid to Ukraine—and now we are talking about cutting economic access meaning that Ukraine’s economy in the times of war will be shrinking—then it’s a questionable position, rather than a partnership one.”

World

Venezuelan dissident Machado credits Trump for advancing freedom movement, dedicates Nobel to him

Published

on

Venezuelan dissident Machado credits Trump for advancing freedom movement, dedicates Nobel to him

NEWYou can now listen to Fox News articles!

FIRST ON FOX: Venezuelan opposition leader María Corina Machado is crediting President Donald Trump for helping sustain Venezuela’s pro-democracy movement while dedicating her Nobel Peace Prize to him, telling Fox News Digital that he provided critical support at a moment when Venezuelans felt abandoned by the international community.

“I am absolutely grateful to President Trump for every gesture, every signal and every moment that he has stood with the Venezuelan people. I have watched it very closely, and I know what it has meant for those who are fighting to reclaim democracy and freedom in our country,” she stated.

“A free and democratic Venezuela is not only possible — it is closer than ever. And that free Venezuela is breathing louder than ever before,” Machado said, adding that her Nobel Peace Prize is also dedicated to Trump. “This Nobel Prize is symbolic of that fight for freedom and is dedicated to the Venezuelan people and to President Trump for showing what strong leadership looks like in the moments that matter most.”

EXPERT REVEALS WHAT IT WOULD TAKE FOR TRUMP TO DEPLOY TROOPS TO VENEZUELA: ‘POSSIBILITY OF ESCALATION’

Advertisement

Nobel Peace Prize laureate Maria Corina Machado waves at the Grand Hotel in Oslo, Norway, early Thursday, Dec. 11, 2025. (Lise Åserud/NTB Scanpix via AP)

An official familiar with the matter told Fox News Digital that Machado hopes to visit the U.S. and meet the president to formally honor him for what she views as his support for the Venezuelan people.

Machado’s remarks come as she re-emerged publicly in Oslo, Norway, after spending 11 months in hiding. After a brief detention during an anti-government protest in Caracas, she went underground as pressure from the Maduro government intensified.

Her return to the public eye coincided with the Nobel Peace Prize ceremony, where her daughter, Ana Corina Sosa, accepted the award on her behalf. The Associated Press reported that Machado waved to cheering supporters from a hotel balcony — her first public appearance in nearly a year.

SCHUMER ACCUSES TRUMP OF PUSHING US TOWARD ‘FOREIGN WAR’ WITH VENEZUELA

Advertisement

The daughter of the Nobel Peace Prize laureate, Ana Corina Sosa, accepts the award on behalf of her mother, Venezuelan opposition leader Maria Corina Machado, during the Nobel Peace Prize ceremony at Oslo City Hall, Norway, on Dec. 10. (Ole Berg-Rusten/NTB Scanpix, Pool via AP)

Machado was barred from running in the 2024 presidential election despite winning the opposition primary by a wide margin, a move that drew strong criticism from Western governments.

Roxanna Vigil, a fellow at the Council on Foreign Relations, told Fox News Digital that Machado remains “the most popular political figure in Venezuela,” adding that she secured “over 90% of the vote” in the opposition primary before being blocked by Maduro. “She became a real threat… and so they disqualified her from running,” Vigil said. Machado ultimately endorsed Edmundo González, who went on to win the election.

CLICK HERE TO DOWNLOAD THE FOX NEWS APP

Venezuelan opposition leader Maria Corina Machado addresses supporters at a protest against President Nicolas Maduro in Caracas, Venezuela, Thursday, Jan. 9, 2025, the day before his inauguration for a third term. (AP Photo/Ariana Cubillos)

Advertisement

Machado ultimately endorsed González, who was widely regarded by independent tallies of the result as having won the 2024 election, but who did not assume the presidency after Venezuela’s official National Electoral Council, controlled by Maduro allies, declared Nicolás Maduro the winner and inaugurated him for another term.

Machado has signaled she intends to return to Venezuela when conditions allow and continues to call for a peaceful transition away from Maduro’s rule.

Advertisement
Continue Reading

World

Residents emerge in DR Congo’s tense Uvira after M23 rebel takeover

Published

on

Residents emerge in DR Congo’s tense Uvira after M23 rebel takeover

A cautious calm has settled over the eastern Democratic Republic of the Congo (DRC) city of Uvira in South Kivu province, as residents begin emerging from their homes following its capture by M23 rebels.

The capture earlier this week threatens to derail a United States-brokered peace agreement, signed with much fanfare and overseen by President Donald Trump a week ago, between Congolese and Rwandan leaders, with Washington accusing Rwanda on Friday of igniting the offensive.

Recommended Stories

list of 2 itemsend of list

Regional authorities say at least 400 civilians, including women and children, have been killed in the violence between the cities of Bukavu and Uvira, both now under M23 control.

Al Jazeera is the only international broadcaster in Uvira, where correspondent Alain Uaykani on Saturday described an uneasy calm in the port city on the northern tip of Lake Tanganyika, which sits directly across from Burundi’s largest city, Bujumbura.

Uaykani said government and allied militias, known as “Wazalendo”, which had been using the city as a headquarters, began fleeing even before M23 fighters entered.

Advertisement

Residents who fled as the Rwanda-backed group advanced have begun returning to their homes, though most shops and businesses remain shuttered.

“People are coming out, they feel the fear is behind them,” Uaykani said, though he noted the situation remains fragile with signs of intense combat visible throughout the city.

Bienvenue Mwatumabire, a resident of Uvira, told Al Jazeera he was at work when fighting between rebels and government forces broke out, and he heard gunshots from a neighbouring village and decided to stop, but said that “today we have noticed things are getting back to normal.”

Baoleze Beinfait, another Uvira resident, said people in the city were not being harassed by the rebels, but added, “We will see how things are in the coming days.”

M23’s spokesperson defended the offensive, claiming the group had “liberated” Uvira from what he called “terrorist forces”. The rebels say they are protecting ethnic Tutsi communities in eastern DRC, a region that has seen fighting intensify since earlier this year.

Advertisement

The offensive, which began on December 2, has displaced more than 200,000 people across South Kivu province, according to local United Nations partners.

Rwanda accused of backing rebels

South Kivu officials said Rwandan special forces and foreign mercenaries were operating in Uvira “in clear violation” of both the recent Washington accords and earlier ceasefire agreements reached in Doha, Qatar.

At the UN Security Council on Friday, US ambassador Mike Waltz accused Rwanda of leading the region “towards increased instability and war,” warning that Washington would hold spoilers to peace accountable.

Waltz said Rwanda has maintained strategic control of M23 since the group re-emerged in 2021, with between 5,000 and 7,000 Rwandan troops fighting alongside the rebels in Congo as of early December.

“Kigali has been intimately involved in planning and executing the war in eastern DRC,” Waltz told the UNSC, referring to Rwanda’s capital.

Advertisement

Rwanda’s UN ambassador denied the allegations, accusing the DRC of violating the ceasefire. Rwanda acknowledges having troops in eastern DRC but says they are there to safeguard its security, particularly against Hutu militia groups that fled across the border to Congo after Rwanda’s 1994 genocide.

The fall of Uvira has raised the alarm in neighbouring Burundi, which has deployed forces to the region. Burundi’s UN ambassador warned that “restraint has its limits,” saying continued attacks would make it difficult to avoid direct confrontation between the two countries.

More than 30,000 refugees have fled into Burundi in recent days.

The DRC’s foreign minister urged the UNSC to hold Rwanda accountable, saying “impunity has gone on for far too long”.

A report by the American Enterprise Institute’s Critical Threats project said Rwanda provided significant support to M23’s Uvira offensive, calling it the group’s most consequential operation since March.

Advertisement

Al Jazeera’s UN correspondent Kristen Saloomey said UNSC members were briefed by experts who noted that civilians in DRC are not benefitting from the recent agreements negotiated between Kinshasa and Kigali.

More than 100 armed groups are fighting for control of mineral-rich eastern DRC near the Rwandan border. The conflict has created one of the world’s largest humanitarian crises, with more than seven million people displaced across the region.

The M23 group is not party to the Washington-mediated negotiations between DRC and Rwanda, participating instead in separate talks with the Congolese government hosted by Qatar.

Continue Reading

World

Video: Deadly Storm Causes Massive Flooding Across Gaza

Published

on

Video: Deadly Storm Causes Massive Flooding Across Gaza

new video loaded: Deadly Storm Causes Massive Flooding Across Gaza

Nearly 795,000 displaced people in Gaza were at risk of dangerous floodwaters, according to the United Nations. The heavy rain and strong winds flooded makeshift shelters and collapsed several buildings, according to the Gaza Civil Defense.

By Jorge Mitssunaga, Nader Ibrahim and Saher Alghorra

December 12, 2025

Continue Reading
Advertisement

Trending