Russia's Trade Wars Exacerbate Eurasian Economic Union's Integration Issues
Trade tensions within the Eurasian Economic Union (EAEU) are escalating as Russia engages in trade wars with its fellow members. The EAEU was established to promote free trade among the five member states, but Russia has consistently circumvented this goal when it suits their interests.
The latest example is Moscow's imposition of trade bans and barriers on Armenian goods, a move widely seen as retribution for Yerevan's efforts to draw closer to the European Union. This economic pressure has extended to key sectors of Armenia's economy, including natural gas supplies, which were abruptly cut off by Gazprom Armenia in 2026.
Russian National Security Council Secretary Sergei Shoigu accused the Armenian government of trying to expropriate Russian businesses in Armenia and hinted at further punitive measures. He stated that 'Russia is not ready and will not finance Armenia's European integration, and every step in this direction has objective consequences.'
Another dispute is brewing between Russia and Kazakhstan over automobiles. Kazakhstan imported Russian autos worth $9.8 million during the first half of 2026 but imports have since plummeted to near zero due to Russia's readjustment of 'recycling fees' for imported autos in 2024.
Kazakh officials claim that the new fee schedule is a backhanded tariff designed to protect Russia's auto industry. Russian leader Vladimir Putin reportedly said that the higher recycling fees 'generated additional revenue for technological development and indirectly supported the domestic auto industry.'