Eurasian Economic Union established

[Nemo1024]

While EU and NATO are desperately clawing at elusive Ukraine, elsewhere in the world, the Eurasion Economic Union has officially come into being. Kazakhstan, Belarus, Russia sings an agreement in Astan:

English: http://rt.com/business/162200-russia-bealrus-kazakhstan-union/
Russian: http://lenta.ru/news/2014/05/29/evraz/

It is expected that Armenia will join the Union soon.

The agreement comes into power from the 1st of January 2015.

"The just-signed treaty is of epoch-making, historic importance," Russian President Vladimir Putin said.

The troika of countries will cooperate in energy, industry, agriculture, and transport.

"In fact, we are shaping the largest common market in the CIS, with huge production, scientific and technological potential and enormous natural resources," the President added.

...

Belarus and Kazakhstan are in third place in foreign trade with the Russian Federation, after the EU and China, Putin said.

...

"The geographical position permits us to create transport, logistic routes of not only regional, but also global importance that permits attracting massive trade flows in Europe and Asia," Putin said ahead of the signing ceremony in Astana, Kazakhstan on Thursday.

[bryant.coleman]

It would have been much better had Ukraine and Moldova joined it. But the CIA toppled the pro-Russian rulers in both the nations (Viktor Yanukovych and Vladimir Voronin respectively). But scope for expansion is still on. Armenia and Georgia should be encouraged to join the union. Other potential candidates can include Mongolia and Kyrgyzstan.

[Ron~Popeil]

Economic cooperation is always a good thing. It makes hostility less likely. I suspect this move might be more about Putin's dreams of restoring the Soviet empire but time will tell.

[Nemo1024]

Economic cooperation is always a good thing. It makes hostility less likely. I suspect this move might be more about Putin's dreams of restoring the Soviet empire but time will tell.

And the only place you will find references to this "dream" is in Western mass media, trying to build up a Russophobic image.

It's not so much a question of "restoring and empire" as of "restoring the economy", that got hit pretty badly during the 90's. You have to remember that the economies of the SU states were tightly intertwined. Think Airbus production lines in Europe.

This union is only about trade and industrial cooperation, unlike EU, there there is an explicit and strong alignment of political agendas. If anything, it's EU in its current form that reminds me the most of USSR.

[sana8410]

It would have been much better had Ukraine and Moldova joined it. But the CIA toppled the pro-Russian rulers in both the nations (Viktor Yanukovych and Vladimir Voronin respectively). But scope for expansion is still on. Armenia and Georgia should be encouraged to join the union. Other potential candidates can include Mongolia and Kyrgyzstan.

If Ukraine hadn't screwed up by getting cought up in the EU mess they would have been also part if this Economic Union.

[bryant.coleman]

This union is only about trade and industrial cooperation, unlike EU, there there is an explicit and strong alignment of political agendas. If anything, it's EU in its current form that reminds me the most of USSR.

The Eurasian Union has a lot to learn from the European Union.  

My suggestions are:

1. The Eurasian Union should never interfere in the sovereignty of its individual states.
2. Policies such as immigration and border control must be left to the individual states.
3. There should be no additional taxes.
4. Inter-state immigration must be limited, and should not cause popular resentment in the member states.
5. Every single nation must be given its due importance, unlike the EU, where Germany and France dominate the policy making.

[Nemo1024]

It would have been much better had Ukraine and Moldova joined it. But the CIA toppled the pro-Russian rulers in both the nations (Viktor Yanukovych and Vladimir Voronin respectively). But scope for expansion is still on. Armenia and Georgia should be encouraged to join the union. Other potential candidates can include Mongolia and Kyrgyzstan.

If Ukraine hadn't screwed up by getting cought up in the EU mess they would have been also part if this Economic Union.

Yes, Yanukovich participated during the founding talks. There were plans for Ukraine taking an observer position to begin with.

5. Every single nation must be given its due importance, unlike the EU, where Germany and France dominate the policy making.

I noticed that during the meetings, Putin usually took a seat on one side, and many of the meeting were conducted in either Kazakhstan or Belarus. I think Putin is consciously trying not to elevate Russia's position in the union.

[Lethn]

Call me paranoid, but I think this is less to do with economics and the sudden amount of western aggression so close to their borders, particularly in response to the sanctions that have been placed against countries like Russia, seems like a way to give the European and U.S powers the middle finger really. Not that I don't approve of that kind of thing, but I think it's a good idea to remember these guys aren't necessarily any more benevolent than the people they're fighting against, if you don't believe me, check a standard google map and just look at their locations.

The next step would be to see if China would join this economic union, but they seem to be largely independent at this point.

[Nemo1024]

This union was many years in the making. The current events in Ukraine had nothing to do with the creation of the union, though the reverse does not apply.

[Balthazar]

The next step would be to see if China would join this economic union

In this case many other european and asian states will follow... Ignoring the US & EU screams, because it's all about their own pocket.

[sana8410]

Russia and its neighboring countries are doing a right thing by creating Eurasian Economic Union. It will strengthen their economic and political ties and make transfer of ideas much faster. And president of Kazakhstan is right they do have to watch for deindustrialization not to take place because this is the main thing that they needed to learn from EU.

[bryant.coleman]

The next step would be to see if China would join this economic union, but they seem to be largely independent at this point.

I don't think that it will happen soon. Any such measure will be harmful to the current member states. The reasons are:

1. If China joins the Eurasian Union, then Chinese nationals will be free to work in any of the member states. This can result in the mass migration of millions of Chinese nationals to Kazakhstan and Russia.

2. Chinese nationals will be able to buy farmland and other property in Russia, Belarus and Ukraine, which in the long term can cause resentment among the local population.

3. Chinese goods will enjoy duty-free status, which can destroy the manufacturing sector in the current member nations.

[blablahblah]

What percentage of global GDP does this Eurasian Economic Union have?

What percentage of global GDP does the European Union have?

Perhaps that's why Moscow is "desperately clawing at the elusive Ukraine"? Please join Russia! Our leader is really nice and extremely popular, and we need some real countries to join us so that our union doesn't look too pathetic. By the way, we're sorry about all those comments we made earlier about you not being a real country. Please join us!


Oh look! I just did a little "union" with myself!

[Nemo1024]

Global GDP? Who cares. The important bit there is the percentage of GDP constituted by the trade with the neighbouring countries. I.e., Ukraine's trade with Russia is over 60% of Ukrainian GDP (or thereabout). And ukraine is doing everything it can to cut itself off from its trade revenue. Oh, well... At least the other countries are more pragmatic.

[bryant.coleman]

What percentage of global GDP does this Eurasian Economic Union have?
What percentage of global GDP does the European Union have?

If we go by the GDP figures, then very soon you will be asking the US and the UK to merge with China. The European Union is having stagnant GDP figures and many of the member nations are bankrupt.

[Benjig]

listen here honey baby.atleast Russians overwhelmingly voted for putin which lends credibility for all he did and will do.what do we have in the US? Electoral college which steals votes and hives it to whom the rich want in power.Bush clearly lost his second term but they still gave him extra votes , so once again who are the real dictators?

[blablahblah]

Global GDP? Who cares. The important bit there is the percentage of GDP constituted by the trade with the neighbouring countries.

Glad you agree!

Russian GDP in 2013:
$2.1T~$2.55T

European Union GDP in 2013:
~$16.5T

Although economic size should not be the only factor, there's a simple argument that if the Ukraine increases its trade with the EU, the potential gains for the Ukraine could far outweigh the financial losses on the Russian side.

And whose side are you on anyway? When Russians shed crocodile tears about "Ukrainian" trading losses, we must remember that Russians are not a neutral party to the debate. They, Russia, are trying to make a profit by being the other trading partner!

Paraphrasing some of the Russian sentiment: "oh my god, the evil IMF and bankers will enslave the Ukraine. But when they have 'free trade' with Russia instead, it's all effin sunshine and rainbows." See adjacent thread...

No. Just look at the Ukrain's current economic status, even ignoring all the fighting.
1) The hryvnia is complete shit
2) Everyone is dirt poor,
3) and yet that 60% trade with Russia is somehow Ukraine's saving grace that makes it all better?

Translating:
1) The Ukrainians are mostly working for Russia.
2) The average Ukrainian is really poor, and don't forget that gas usury.
3) Therefore, the Ukrainians are slaves to Russia.

[Nemo1024]

Economic cooperation is always a good thing. It makes hostility less likely. I suspect this move might be more about Putin's dreams of restoring the Soviet empire but time will tell.

It makes hostility less likely? What? Have a look at the European union. The eurosceptics are increasing, hostility towards the union even comes from within it now.

Because EU has grown from being an economic/trade union to a political/centristic union. EU in its current form is not far from what Soviet Union was.

[blablahblah]

Economic cooperation is always a good thing. It makes hostility less likely. I suspect this move might be more about Putin's dreams of restoring the Soviet empire but time will tell.

It makes hostility less likely? What? Have a look at the European union. The eurosceptics are increasing, hostility towards the union even comes from within it now.

You can't have a stable system without negative feedback.

Perhaps you and your Russian compatriots should show a bit more concern about Putin's high popularity? Shouldn't there be at least a couple of strong competitors with around 20% to 30% support? Are there any real opposition parties? Are there any protests about things (real, important things) that the Russian people disagree with and want their government to do differently?

[blablahblah]

Economic cooperation is always a good thing. It makes hostility less likely. I suspect this move might be more about Putin's dreams of restoring the Soviet empire but time will tell.

It makes hostility less likely? What? Have a look at the European union. The eurosceptics are increasing, hostility towards the union even comes from within it now.

Because EU has grown from being an economic/trade union to a political/centristic union. EU in its current form is not far from what Soviet Union was.

As you can see, anyone can say whatever shit they want about the EU. There's criticism everywhere. This freedom and openness is the extreme opposite of the fearful East European culture pre-dating the 1990s. It seems ironic that the communists were so sensitive, like royalty. This sensitivity is part of what led to their downfall. There was also the financial incompetence, which could have led to some kind of inferiority complex... But, as you can see, trying to silence criticism and opposition was a fatal mistake.