A Look at the Tariff Policies of the Five Central Asian Countries
With the deepening implementation of the Belt and Road Initiative, the five Central Asian countries, as important bridges connecting Eurasia, are increasingly highlighting their strategic importance. These countries aim to optimize their industrial structure, attract foreign investment, enhance export competitiveness, and ensure the stability and prosperity of their domestic markets by formulating and adjusting their tariff policies.
The tariff policies of Kazakhstan, Kyrgyzstan, Tajikistan, Uzbekistan, and Turkmenistan are unique. They serve both as tools to protect their domestic economies and as important drivers of regional economic integration. For Chinese enterprises, familiarizing themselves with these rules is a crucial first step in opening up the Central Asian market.
- Kazakhstan: As a member of the Eurasian Economic Union, Kazakhstan implements a unified external tariff system. Most imported goods are subject to ad valorem tariffs, with rates ranging from 0% to 15%, and a weighted average rate of approximately 8.6%. Tariffs are higher for sugar and meat products, while certain key equipment such as industrial machinery enjoys low or zero tariff preferences. On the export side, most goods are exempt from export duties, except for a few products such as rare metals. The value-added tax rate is 12%.
- Kyrgyzstan: A member of the Eurasian Economic Union, it implements a unified tariff schedule. Most goods are subject to tariffs ranging from 0% to 15%, with an average tariff level of approximately 8%. Tariffs on daily necessities and industrial products are generally low, and most goods originating from member countries are subject to zero tariffs. The VAT rate is 12%.
- Tajikistan: Joined the WTO in 2013, and its tariff system is gradually aligning with international standards. Overall, tariff rates are low, with an average most-favored-nation (MFN) tariff of approximately 6%-8%. Tariffs on manufactured goods are relatively low. The VAT rate is 15%.
- Uzbekistan: Not yet a formal WTO member, but has vigorously promoted trade liberalization reforms in recent years. In 2021, the average tariff rate was approximately 7.4%. Tariffs on major industrial raw materials and machinery are low, while tariffs on consumer goods are higher. The VAT rate is 12%.
- Turkmenistan: For most goods, the import tariff rate is 2%, and the export tariff rate is 5%. However, the import tariff on cotton bedding is 100%, and on clothing, it is 30%, etc. Raw meat and vegetable oil are exempt from import duties, while sewn products and knitwear are exempt from export duties.
