This researched based paper is intended to make a survey on Russian Eurasian Union project and possible politico-military trends of Russian Federation.

1. By Mr. Rustam Rahimli
MA degree on Russian Studies
Baku Slavic University

2. Eurasian Integration: The History
• Agreement on Commonwealth of Independent States (CIS) –
Dec, 1991
• Treaty on Increased Economic Integration, 1996
• Agreement on Customs Union and Single Economic Space,
1999
• Treaty on Eurasian economic community, 2000
• Adoption of Customs Code and application of unique
external tariff, 2010
• Agreement on lifting internal border controls, July, 2012
• Agreement on Eurasian Union, 2011
• Establishment of Customs Union , Jan, 2010
• Establishment of Single Economic Space, Jan, 2012 (2015)

3. Eurasian Integration: The History

4. History in brief
December 9, 2010
Declaration on the
Establishment of the Single
Economic Space of Belarus,
Kazakhstan and the Russian
Federation
Moving towards the establishment of the Eurasian
Economic Union in order to achieve balanced, mutually
reinforcing and beneficial cooperation with other
countries, international economic unions and EU with a
view to create a single economic space
November 18, 2011
Declaration on Eurasian
Economic Integration
Desire to complete by January 1, 2015 codification of
international Treaties that make up the regulatory legal
framework of the Customs Union and Single economic
union, thus laying groundwork for the future Eurasian
Economic Union.
March 19, 2012
Declaration by the three
Presidents
Reaffirming commitment to establish the Eurasian
Economic Union by 2015

5. The Stages of Eurasian Integration

6. The main documents of
perspective Eurasian Union
• Treaty of Customs Union
• Codified Agreement on Single Economic
Space

7. The Customs Union considers:

8. The Single Economic Space considers:

9. Structure of the Eurasian Union
Supreme Eurasian Economic Council
(Heads of State and Government of the Member States)
Eurasian Economic Commission
Council of the Commission
three members of the Council, one Deputy PM representing each Member State
Board of the Commission
(nine members, three from each Member State)
Chairman of the Board
Member of the Board-Minister in
charge of the developmentof
integration and macroeconomics
Member of the Board–Minister
in charge of economy and
financial policy
Member of the Board-
Minister in charge of technical
regulation
Member of the Board-
Minister in charge of trade
Member of the Board-Minister in
charge of competition
Member of the Board-Minister
in charge of industry and
agribusiness
Member of the Board -
Minister in charge of energy
and infrastructure
Member of the Board-
Minister in charge of the
customs cooperation

10. International actors of EAU project
• Member States:
Russian Federation Republic of KazakhstanRepublic of Belarus
• Candidate States:
Republic of Kyrgyzstan, Republic of Tajikistan and Armenia
• Observer candidate:
the Republic of Ukraine

11. Economic dimensions
• The impact of WTO
• Energy dependency as a means of Integration
• Economic Indications of EAU

12. The impact of WTO
• The World Trade Organization (WTO) is
an organization that intends to supervise and
liberalize international trade among the
participating countries.
• Founded: Jan, 1995
WTO members from Post-Soviet Countries:
Georgia – 2000, Ukraine – 2008, Russia - 2012

13. • Different tariff regulations of Customs Union
and WTO, leads to implications for the
harmonization of tariffs among the EAU
member-states.
The impact of WTO
As a sample: By joining to the Customs Union,
the Ukraine has to compensate the losses
incurred by the other WTO members, an
amount estimated at USD 1.9 billion.

14. Energy dependency as a means of
Integration
But :
Since 1st of January 2012, gas price for Belarus lowered from USD 244
to USD 164 per 1000 cubic meters which led to USD 2, 0.000.000
(billion) annual benefit for Belarus. In return, Belarus sold the shares
of state-owned oil company Beltansgaz corporation for 2.5 billion to
the Gazprom where Russia gained control over 80% of gas network of
Europe through the Ukraine.

15. Energy dependency as a means of
Integration
• Kazakhstan – Russia energy deal:
- Uzen – Atyrau – Samara oil pipeline – 1232 km
- Caspian Pipeline Consortium – 1510 km
• Kazakhstan and other countries:
- Kazakhstan – China ( Xinjiang) 2800 km
- Baku – Tbilisi – Ceyhan – by tankers

16. Energy dependency as a means of
Integration

17. Energy dependency as a means of
Integration
• 25 % of whole Europe
• 70% of Central Europe

18. Energy dependency as a means of
Integration
All energy pipelines from Russia to Europe:
Druzhba pipeline network takes Russian oil through Belarus to Poland and Germany in the north
and in the south through Ukraine to Central Europe and the Balkans, as well as to Italy.
Yamal pipeline carries natural gas through the Belarus to Poland & Germany.
South Stream (through Black Sea) and Nord Stream (through Baltic Sea) pipelines

19. Economic Indications
• Russia in the ranking of:
• International’s corruption perception index: 133rd
• The World Bank doing business index: 112th
• Heritage Foundation’s Index of Economic Freedom: 139th

20. Economic Indications

21. Economic Indications
share in the global economy

22. • Collective Security Treaty Organization – CSTO
• Rapid Reaction Forces
• Russian’s military investments
Military dimensions

23. Collective Security Treaty Organization –
CSTO
The Eurasian Union member – states co-ordinates their
military and security services through the CSTO.
• Founded : 7th October, 2002
• Member-states:
• Armenia, Belarus, Kazakhstan, Kyrgyzstan, Russia, Tajikistan
• Annual Budget: 5.414.620.000 USD

24. Collective Security Treaty Organization –
CSTO Structure
Council of
Collective
defence
Permanent
Council
Council of
Ministers of
Defence
Military
Committee
Working Group
on Afghanistan
Council of
Ministers of
Foreign Affairs
Secretary
General
Secretaries’
Committee of
security councils
Secretary of
CSTO

25. Rapid Reaction Forces
Founded by the CSTO member states on 4th February, 2009.
Based on 2 components:
- Army component for resolution of armed and border conflicts
- Special purpose troops for combating with terrorism and drug
trafficking ;

26. Russian investment in Military
• The Russian military bases in the Asia:
- 3 military bases in Abkhazia
- 1 military base in South Ossetia
- Ground forces in Transnistra, Moldova
- Infantry division in Tajikistan
- Naval base in Sevastopol, the Ukraine
- Also, some forces in Armenia, Kyrgyzstan & Tajikistan
The intended investment in the military:
Allocation in the amount of USD 800 billion for reform and rearm of the
Russian troops;
Increasment the amount of Airborne from 7500 – 20.000 (by 2017)

27. Russian investment in Military
2002 – 2012 years: USD 755 billion
According to the statistics of 2013:

28. What does Eurasian Union
integration project stands for ?
Eurasian Union Integration project is deemed for:
- Creating an independent pole in the perceived global multipolar system ;
- To eliminate the European expansion towards the Eastern Europe;
- To regain co-equal global leadership;
- Meet the Chinese economic challenges, primarily in Central Asia;
- Oppose the Islamist expansion into the Central Asia, North Caucasus, Siberia,
the Urals and Volga region;
- To solid the energy dependency policy of the Europe by monopolizing the
regional resources and etc. ;

29. Conclusion
• To sum up all the above, we could make the following
outcomes:
- Russia’s new idea to create the Eurasian Economic Union is considered to
offer post - soviet states (besides, Baltic states) a “forced alternative” of the
European Union which promises less successes.
- Unlike, the European Union, Eurasian Economic Union offers restricted
sovereignty of member-states which cause disblief for such integration.
- Russian ruled Collective Security Treaty Organization will be less effective in
Asia, unless China is not a member of this security organization.
- Generally, Russian investment in military serves for eradicating NATO
influence to the Asia, as well as keeping the status – quo of “frozen”
conflicts of the region.

30. References
http://www.ft.com/intl/cms/s/0/82d3917e-2a80-11e3-8fb8-00144feab7de.html#axzz2tlepcFRj
Blockmans, Steven: “Towards a Eurasian Economic Union: The challenge of integration and
unity”, CEPS, Brussels, 2012
Adomeit, Hannes, Putin’s “Eurasian Union: Russia’s Integration project and policies on post-
soviet space” , Kadir Has University, Turkey, 2012
Mowchan, John A: “Militarization of the Collective Security Treaty Organization” , U.S Army
War College, USA, 2009
http://www.heritage.org/research/reports/2013/06/russias-eurasian-union-could-endanger-
the-neighborhood-and-us-interests
Kasciunas, Laurynas: “Eurasian Union: a Challenge for the European Union and Eastern
Partnership Countries”; Vilnius, 2012
http:// www.eurasiancommission.org/.../broshura26Body_ENGL_final2013_2.