Mongolia
Since 2015, Mongolia has GSP+ status and can benefit from preferential access to the EU market. In compliance with the GSP regulation, Mongolia has ratified all 27 core international conventions on human rights, labour standards, environmental protection, and good governance. With a per-capita income of $6,691 in 2024, the World Bank classified Mongolia as an upper middle-income country in fiscal year 2026 (for the second consecutive year, thus getting close to the threshold for graduation from the GSP). Total EU imports from Mongolia amounted to €128 million in 2024, and about €19.1 million made use of the GSP+ preferences; most other exports from Mongolia also enter the EU market at zero duty under the normal tariff regime.
- 27 October 2025: EU-Mongolia Business and Investment Forum (press release)
- 4 April 2025: Joint Committee meeting under the EU-Mongolia Partnership and Cooperation Agreement (press release)
- 2 April 2025: 7th EU-Mongolia Human Rights Dialogue (press release)
What is the GSP+?
The GSP+ is a special incentive arrangement for Sustainable Development and Good Governance that supports vulnerable developing countries. Next to fulfilling the eligibility requirements of the Standard GSP, GSP+ countries are required to ratify 27 international conventions on human rights, labour rights, environmental protection and climate change, and good governance. In order to ensure effective implementation of the conventions as well as compliance with reporting obligations, the EU engages in monitoring activities with the GSP+ countries. GSP+ beneficiaries can benefit from complete duty suspensions for products across approximately 66% of all EU tariff lines.
At a glance: EU preferential imports from GSP+ beneficiary countries (2024, € million)
3.5M (2024)
Population
Semi-Presidential Republic
Government
4.9% (2024)
GDP Growth
6.2% (2024)
Inflation
$ 23.6B (2024)
GDP
Facts about the Mongolian economy
Landlocked Economy
Mongolia is a landlocked economy where agriculture and herding are traditionally of high importance.
Extractive industries
Foreign direct investment particularly in extractive industries such as mining of copper, gold and coal led to a significant increase in exports after the financial crisis in 2008. Today, mineral products account for over 90% of Mongolia’s exports, which leaves the Mongolian economy vulnerable to international price fluctuations with regard to these commodities.
Trade with China and Russia
Mongolia most important trading partners are China (62% of total trade in 2024) and Russia (10%). China is also by far the most important export market: 87% of Mongolia's exports went there in 2024.
Economic Structure
Services (44% in 2024) and industry (38%) account for the largest shares in Mongolia’s GDP. The share of agriculture decreased from 13% to 8% in recent years. The industrial sector in Mongolia concentrates on construction and mining.
Usage of GSP+ Preferences
Mongolia used GSP+ preferences for 15% of its total exports to the EU in 2024 (a large share of the country's exports enters the EU duty free under the normal tariff regime). The preference utilisation rate stood at 78%.
Trade with the EU
Total trade between the EU and Mongolia amounted to €1.1 billion in 2024. The EU accounts for a share of 4% of Mongolia’s total trade and ranks third in Mongolia's trading partners behind China and Russia.
Mongolia and the EU
Imports from Mongolia by product section (2024, € million)
Imports from Mongolia over time (€ million)
MONGOLIA AND THE EU GSP
Economic Impact
19%
Share of Mongolia’s exports to the EU that were eligible for tariff reductions under the GSP+ in 2024.
78%
Mongolia's preference utilisation rate in 2024.
94%
Share of zero-duty imports from Mongolia in 2024. Most imports are duty-free under normal EU tariffs.
Preference utilisation and export diversification
EU imports from Mongolia (€ million)
Preference utilisation (%) vs. total eligible imports (in € million)
Although only a small share of EU imports from Mongolia is eligible for GSP+ preferences (most imports are duty free under normal tariffs), their value has almost steadily increased over the years (except for the pandemic years 2020 and 2021, and a drop in 2024). Mongolia's preference utilisation rate was above 80% in most years; in 2023, it dropped to 67% but somewhat recovered in 2024, to 78%. Utilisation of the GSP+ preferences varies across (large) product groups, ranging from more than 90% utilisation for headgear and light manufactures, to 64% for plastics.
The largest product sections under the GSP+ (€ million, 2024)
GSP+-preferential imports from Mongolia decreased by 21% from 2022 to 2024. After vegetables and fruit became eligible for export in 2021, they initially increased rapidly but since 2022 decreased again, by about 70%. Apparel remains the leading preferential product category, accounting for 70% of all GSP+ preferential imports from Mongolia in 2024. Plastics is now the second most important category.
SUSTAINABLE DEVELOPMENT AND MONITORING PRIORITIES
Mongolia shows a strong engagement in the GSP+ monitoring process, despite challenges in taking more commercial advantage of the unilateral tariff preferences of the EU. During the reporting period (2020-2022), progress was made in the area of children’s rights, fight against domestic violence, as well as labour rights. Yet the country should make more effort to effectively implement the related legislation. With regard to human rights, the key issue is the effective implementation of the ratified human rights conventions. The draft laws on civil society organisations which might restrict civil space are issues of concern.
For more information about Mongolia's compliance with the GSP conventions, see the convention compliance database.
Monitoring priorities during the reporting period 2024-2025
Freedom of expression
Human rights defenders
Strengthening the judiciary
Anti-discrimination
Addressing violence against women and vulnerable groups
Labour rights
Eliminating child labour
Environment and climate conventions implementation
Anti-corruption
Drug control
For the reporting period 2024-2025, the EU has identified ten focus areas for its monitoring activities. Mongolia is showing commitment regarding the implementation of international labour conventions, also through the new Labour Law. The country faces many challenges in the field of environment, also related to pollution, which the EU is helping to address through its development cooperation. Finally, with regard to the international conventions on good governance, challenges remain especially in the area of corruption. This is an area where further work should be done.
EU-Mongolia Bilateral Development Cooperation
DG INTPA
Access all info about EU-Mongolia relations on the International Partnerships website.