The Eurasian Economic Union (EEU) currently has five members: Russia, Armenia, Belarus, Kazakhstan, and Kyrgyzstan. But several other countries, including Iran, have expressed interest in becoming members.

But will Iran actually join the Eurasian Economic Union? It’s hard to say.

Iran has taken steps to become more engaged with the EEU in recent years, but there is no guarantee the union will actually expand to include Iran, or other interested countries.

Free Trade Zone Between Iran and Eurasian Economic Union

One major step to bring Iran and the EEU closer was the formation of a free trade zone.

In May 2018, Iran and the EEU signed a three-year provisional agreement. This agreement decreases or eliminates import duties and establishes a more transparent trade relationship.

However, this free trade zone does not necessarily ensure Iran will join the EEU in the future. Several other countries have expressed interest in cooperation agreements with the Eurasian Economic Union in the past, including Mongolia, India, Vietnam, Egypt, and Israel. Despite some countries negotiating successful free trade agreements, none have actually joined the EEU.

Challenges for Iran Joining the Eurasian Economic Union

Iran’s relationship with the global marketplace is a major factor when it comes to joining the Eurasian Economic Union.

The United States has imposed some form of sanctions on Iran since 1979. In a February address, Iran’s Minister of Energy Reza Ardakanian noted that joining the EEU during this period of sanctions would be a huge undertaking, and he said "cooperating between public and private sectors can help boost the economy of the country significantly."

The EEU is a regional trade organization recognized by the WTO, and it typically negotiates as a single entity in international deals. Iran is not currently a member of the World Trade Organization (WTO), which represents over 96% of global trade and GDP.

According to ScienceDirect, internal conflict among the five member states of the EEU may also make Iran’s membership more difficult to achieve at this time. Strong interests from individual member countries has at times prevented consensus, and the Eurasian Economic Union has not grown since adding Kyrgyzstan and Armenia in 2015.

Benefits to Iran of Joining the Eurasian Economic Union

Iran would benefit in many ways from joining the EEU. Freer trade in the region would allow all Iranian producers to reach a wider audience—energy companies, goods manufacturers, farmers, and more.

An agreement with other Eurasian countries would also ensure greater quality and uniformity in Iran’s products. Consumers in Iran and other member states will reap the benefits of safe, reliable products with consistent production and labeling.