Uzbekistan, a landlocked country located in Central Asia, plays a crucial role in regional trade, leveraging its strategic position as a transportation hub and an exporter of natural resources. The country has undergone significant economic reforms in recent years, shifting from a centrally planned economy to a more market-oriented one. As part of these reforms, Uzbekistan has streamlined its customs procedures and updated its tariff system to encourage investment, protect local industries, and boost trade with international partners.
Customs tariffs are an essential part of Uzbekistan’s trade policy. The tariff structure in Uzbekistan is designed to regulate imports, protect domestic industries, and generate revenue for the government. Tariffs are applied to a wide range of goods, from agricultural products to industrial machinery, and are structured to promote domestic production while ensuring the availability of foreign products that complement local needs. Additionally, Uzbekistan’s tariff rates can vary depending on the product category, country of origin, and any special trade agreements the country has with other nations.
Custom Tariff Rates by Product Category
Uzbekistan’s customs tariff system is regulated by the Customs Code of the Republic of Uzbekistan, and the tariffs are aligned with the Unified Customs Tariff. The tariff schedule categorizes products based on their classification under the Harmonized System (HS), an internationally accepted classification standard. The tariff rates range from zero for essential goods to higher rates for luxury items and products that compete with domestic industries.
Below is an outline of the major product categories and their respective customs tariff rates:
1. Agricultural Products
Uzbekistan has a strong agricultural sector, with products like cotton, fruits, vegetables, and cereals playing a key role in both domestic consumption and exports. Agricultural products, particularly those that are not produced in sufficient quantities domestically, are subject to varying tariffs depending on their nature and processing.
Common Agricultural Tariff Rates:
- Cereals (Wheat, Rice, Barley, Oats):
- Wheat: Import tariffs on wheat typically range from 5% to 10%.
- Rice: Rice imports are subject to a tariff of around 15%, with higher rates for processed or packaged rice.
- Barley: Barley is taxed at 5%, although this can be higher for specialty types.
- Fruits and Vegetables:
- Fresh fruits: Tariffs for fruits like apples, oranges, and bananas generally range from 5% to 15%, depending on the product and country of origin.
- Vegetables: Imported vegetables, such as tomatoes, cucumbers, and potatoes, face tariffs from 10% to 15%.
- Livestock and Meat Products:
- Beef: Beef imports are taxed at 10%, though the rate can be higher for specific cuts or processed products.
- Pork: Pork imports are subject to 15% tariffs, while poultry may be taxed at rates between 10% and 20% depending on the type of meat.
- Dairy Products (Milk, Cheese, Butter):
- Milk: Milk is subject to 5% to 15% import duties depending on the type (fresh vs. powdered).
- Cheese: Tariffs on cheese range from 5% to 20%, with higher duties on specialized cheese types.
- Butter: Butter typically faces tariffs between 5% and 10%.
Special Agricultural Tariffs:
- Sugar: Imported sugar is taxed at 20% to protect domestic sugar production.
- Wine and Alcohol: Wine and alcoholic beverages are subject to tariffs that can range from 10% to 30%, depending on the alcohol content and value.
2. Textiles and Apparel
Uzbekistan is one of the largest producers of cotton in the world, making the textile and apparel industry a vital part of the country’s economy. While Uzbekistan produces large quantities of cotton and fabric, imported textiles and finished clothing items are subject to customs tariffs.
Common Tariff Rates for Textiles:
- Cotton Fabric and Yarn:
- Cotton fabric and yarn, if imported, are generally taxed at 5% to 10% depending on the quality and processing level.
- Finished Clothing (T-shirts, Jeans, Jackets):
- Basic garments such as t-shirts and jeans are subject to tariffs of 10% to 20%, while higher-end clothing items can face duties of 20% to 30%.
- Footwear:
- Imported footwear, including leather shoes and synthetic footwear, typically faces tariffs of around 15% to 25%.
Special Import Duties:
- Second-hand Clothing: To protect the domestic textile industry, second-hand clothing may face higher import duties, typically ranging from 25% to 30%.
3. Electronics and Electrical Appliances
Uzbekistan has a growing consumer electronics market, and the country imports a significant number of electronic devices, including smartphones, computers, and home appliances. The tariff rates on electronics are relatively low to facilitate access to these products, although some categories may face higher duties.
Common Tariff Rates for Electronics:
- Mobile Phones and Tablets:
- The import of mobile phones and tablets typically faces a 5% to 10% tariff. However, certain models or brands may qualify for reduced duties if they meet local standards for production or environmental specifications.
- Computers and Laptops:
- Laptops and desktop computers generally face low tariffs of around 0% to 5%. High-performance computing equipment may be eligible for tariff exemptions under special import programs.
- Home Appliances (Refrigerators, Washing Machines):
- Imported home appliances such as refrigerators and washing machines are generally taxed at 10% to 20%, with higher tariffs for luxury models or high-end brands.
Special Import Duties:
- Used Electronics: Second-hand or refurbished electronics are subject to higher tariffs than new items, with import duties ranging from 10% to 20%, depending on the condition of the product.
4. Vehicles and Automotive Parts
The automotive sector in Uzbekistan has grown significantly in recent years, with an increasing number of domestic automobile manufacturers. However, the country still imports a variety of vehicles and automotive parts, which are subject to tariffs to protect local manufacturers and the automotive industry.
Common Tariff Rates for Vehicles:
- Passenger Cars:
- Imported passenger cars are subject to a tariff of 30%. The rate may be higher for luxury vehicles, especially those from high-tax countries.
- Motorcycles and Motorbikes:
- Motorcycles are subject to a tariff of 10% to 15%, depending on engine size and other specifications.
- Automotive Parts:
- Import duties on automotive parts such as engines, tires, and components range from 10% to 15%.
Special Import Duties:
- Electric Vehicles (EVs): In line with environmental policies, electric vehicles may receive preferential tariffs or exemptions, typically falling under the 5% to 10% range.
5. Chemicals and Pharmaceuticals
Uzbekistan imports a significant volume of chemicals for industrial applications and pharmaceuticals for the healthcare sector. To protect the local industry and ensure affordable access to essential products, the tariff rates vary depending on the type of chemical or pharmaceutical product.
Common Tariff Rates for Chemicals:
- Pharmaceuticals:
- Pharmaceuticals are generally exempt from customs duties or face very low tariffs (around 0% to 5%), especially for essential medicines and vaccines.
- Industrial Chemicals:
- Chemicals used in manufacturing, such as fertilizers and plastics, typically face tariffs of 5% to 15%, depending on the substance and its use.
Special Import Duties:
- Controlled Substances: Some chemicals that are used in the production of controlled substances or hazardous materials are subject to additional duties or restrictions.
6. Luxury Goods
Luxury goods such as high-end jewelry, watches, designer clothing, and premium wines are subject to relatively high tariffs in Uzbekistan. These goods often attract higher duties to protect domestic markets and to generate government revenue.
Common Tariff Rates for Luxury Goods:
- Jewelry and Watches:
- Imported jewelry and watches face tariffs of 10% to 20%, with higher rates for luxury or high-value items.
- Fine Wines and Spirits:
- Wines and spirits are taxed at 20% to 30% or higher, depending on the brand and alcohol content.
- Designer Fashion:
- Luxury fashion items such as designer handbags and clothing can face tariffs from 15% to 30%, depending on the materials and brand.
Special Tariff Provisions for Certain Countries
Uzbekistan has established trade agreements with several countries and regional organizations, which affect tariff rates on imported goods. These agreements often offer preferential treatment to certain countries or regions, resulting in reduced or zero tariffs for qualifying products.
Free Trade Agreements (FTAs) and Trade Preferences:
- Eurasian Economic Union (EAEU): Uzbekistan is a member of the Eurasian Economic Union, which includes countries like Russia, Armenia, Belarus, Kazakhstan, and Kyrgyzstan. This agreement allows for zero tariffs or lower tariffs on certain goods traded between member countries.
- Bilateral Agreements: Uzbekistan has bilateral agreements with countries like China, South Korea, and Turkey, which can reduce tariffs on certain categories of goods imported from these nations.
- Generalized System of Preferences (GSP): Uzbekistan benefits from the Generalized System of Preferences (GSP), which offers preferential tariff rates for imports from developing countries. This allows for reduced tariffs on select goods from eligible countries.
Country Facts
- Formal Name: Republic of Uzbekistan
- Capital City: Tashkent
- Three Largest Cities: Samarkand, Bukhara, Andijan
- Population: Approximately 35 million (2024 estimate)
- Per Capita Income: Around $1,500 USD (2023 estimate)
- Official Language: Uzbek
- Currency: Uzbek Som (UZS)
- Location: Located in Central Asia, landlocked, bordered by Kazakhstan to the north, Kyrgyzstan to the northeast, Tajikistan to the southeast, Afghanistan to the south, and Turkmenistan to the southwest.
Geography
Uzbekistan is a landlocked country situated in Central Asia. The country is characterized by vast desert areas, such as the Kyzylkum Desert, along with mountain ranges like the Tien Shan and the Pamirs. Uzbekistan’s geography is largely arid, with rivers like the Amu Darya and Syr Darya playing crucial roles in the country’s agriculture.
Economy
Uzbekistan has a diversified economy with key sectors including agriculture, energy, manufacturing, and services. The country is one of the world’s largest cotton producers and has significant mineral resources, including gold, uranium, and natural gas. Over the past decade, Uzbekistan has embarked on a series of economic reforms to modernize its industries, improve infrastructure, and foster private sector development.
Major Industries
- Agriculture: Cotton, fruits, vegetables, and grains are major exports.
- Energy: Uzbekistan is a leading producer of natural gas and has significant oil reserves.
- Mining: The country is rich in mineral resources, particularly gold, uranium, and copper.
- Manufacturing: Uzbekistan is developing its manufacturing sector, particularly in textiles, food processing, and machinery.
