YEREVAN — Economy Minister Vahan Kerobyan predicted on Wednesday a continued sharp increase in Armenia’s trade with Russia resulting in large measure from the Western economic sanctions against Moscow.
Russian-Armenian trade doubled last year and in the first five months of this year. Kerobyan predicted that trade is very likely to surge by 60% in 2023 (as opposed to 2022)
“Last year, our trade turnover with Russia reached more than $5 billion and we have been seeing its doubling,” Kerobyan told the TASS news agency as he attended a trade exhibition in the Russian city of Yekaterinburg. “Armenia economy is growing at double-digit rate now and I think the trade with Russia will grow by 50-60% at the end of the year,” Kerobyan concluded. The minister emphasized that Russia is the number one trade partner for Armenia.
Armenian government data shows that the trade with Russia totaled $2.5 billion in January-May 2023, compared with about $1.2 billion with the European Union.
The unprecedented upward trend is primarily driven by Armenian exports to Russia that tripled in 2022 and January-May 2023. Goods manufactured in third countries and re-exported by Armenian firms are thought to have accounted for most of that gain. They include consumer electronics as well as other hi-tech goods and components.
According to Armenia’s National Statistical Committee, Armenia’s foreign trade turnover in January-May 2023 soared by almost 87% year-on-year to over $7.3 billion