You're reading: EU refuses to discuss free trade zone if Ukraine joins Customs Union

Brussels, April 7 (Interfax-Ukraine) -Ukraine will not be able to hold talks with the European Union on the establishment of a free trade area if it becomes a member of the Customs Union formed by Russia, Belarus and Kazakhstan, EU Trade Spokesman John Clancy told Interfax-Ukraine on Thursday.

He said that Ukraine was free to conclude other trade agreements in accordance with its economic priorities, including other free trade agreements.

"However, logic abides that these agreements should not undermine the commitments made under the DCFTA [deep and comprehensive free trade area] or impede the conclusion of the DCFTA with the EU," Clancy said.

"Therefore, one should take into account that it would be very difficult, if not impossible, for Ukraine to negotiate a free trade area with the EU if it were to join a customs union with countries that have not liberalized their trade with the EU and which apply a common customs tariffs towards other trade partners. As a result, notwithstanding the complexity of the issues to be also solved in the context of Ukraine’s WTO membership, joining the Customs Union would affect the privileged trading relations sought by the DCFTA," he said.

Ukrainian President Viktor Yanukovych said in his annual State of the Nation Address earlier today that Ukraine planned to deepen cooperation with the member states of the Customs Union.

Ukraine’s further relations with the Customs Union formed by Russia, Belarus and Kazakhstan will be governed by new free trade treaties, and a "3+1" cooperation agreement could be signed, Yanukovych said in his address.

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