Russia warns of economic consequences if Armenia moves closer to EU

Russia’s Deputy Prime Minister Alexey Overchuk has warned that Armenia’s closer ties with the European Union could significantly impact bilateral trade.

In an interview with TASS on Saturday, Overchuk said that Russia’s trade with Armenia could fall from $12.4 billion last year to around $6 billion this year due to cautious business engagement.

“Armenia has the right to decide its path, but they should understand that the customs regime would change and free trade between our countries could end,” he said, highlighting potential harm to Armenian producers, particularly in agriculture, which relies on Russian demand.

Overchuk also pointed to possible challenges in air transport, energy and food prices, noting that Armenian businesses might face competition from EU imports and lose the benefits of free trade with Iran.

At the same time, he acknowledged potential opportunities from EU markets but stressed that Armenia should weigh the trade-offs carefully. “Ultimately, it's for the Armenian people to decide,” he said.