- NEW: Vladimir Putin calls for "substantial" talks in Ukraine, end to bloodshed, state media says
- Kremlin says Russia "will undertake its measure" if agreement affects its market
- Document signed is "a symbol of faith and unbreakable will," says Poroshenko
- The signing shows "how dramatically things can change in a short time," he says
Brussels, Belgium (CNN) -- Ukrainian President Petro Poroshenko signed an association agreement with the European Union on Friday, the same deal whose reversal set off a crisis in the nation.
His predecessor's decision to shun the deal last year and work with Russia instead unleashed deadly strife that led to the ouster of the nation's President, the loss of Crimea and a pro-Russia separatist rebellion.
Sealing the deal may be the second-most important moment in Ukraine's history, Poroshenko said, after its independence from Russia.
He said the signing "shows how dramatically things can change in a short time, if the will of the people is strong enough."
And he paid tribute, on what he described as a "great day" in the nation's history, to Ukrainians who lost their lives when protests over closer ties with Europe turned bloody.
"The document we will sign today is not just political and economic, it is a symbol of faith and unbreakable will," he said.
"It is a tribute to people who gave their lives and health to make this moment happen, and it is the strongest reminder that today's Europe is and must be about people's determination to live in a better and safer world."
Poroshenko said that in signing the association agreement, he was making a unilateral statement that his country has underlined its choice of future membership in the European Union.
And he signaled to Russia that its efforts to undermine the closer unification of Europe would fail in the face of Ukraine's determination to pursue its European dreams.
He used the same pen intended for use in November, before former President Viktor Yanukovych turned his back on the agreement in favor of closer ties with Moscow.
Russian reaction
Kremlin spokesman Dmitry Peskov said on Russian state TV that signing the EU deal is a "sovereign right" of the three nations but that "Russia will undertake its measure if its market is negatively affected" by the agreement.
Such action probably would be protective trade measures intended to shield Russian producers and industry from an influx of potentially cheaper, better-quality goods from Europe.
Ukraine's signing of the deal comes on the same day that Poroshenko's unilaterally declared cease-fire with pro-Russia separatists in eastern Ukraine is due to expire.
Speaking Friday, Putin emphasized the need for a lasting truce, according to Russia's state-run news agency ITAR-Tass.
"Ukraine should embark on the path of peace, dialogue and accord. The priority is to conduct substantial talks between the authorities in Kiev and the southeast," Putin is quoted as saying.
"We stand for the complete termination of bloodshed on the whole territory of Ukraine, including along our borders," he said, adding that Russia is doing its best to contribute to the peace process.
Van Rompuy: Security, stability, prosperity
The EU-Ukraine Association Agreement calls for a free trade zone and for Ukraine to adhere to European values such as democracy and human rights. It will allow for the country to participate in common border protection and security processes.
In remarks before the signing, the president of the European Council, Herman Van Rompuy, also remembered those who died in Ukraine.
"In Kiev and elsewhere, people gave their lives for this closer link to the European Union," he said. "We will not forget this."
Van Rompuy said that closer political and economic ties would bring greater security, stability and prosperity to Ukraine and the two other former Soviet states also signing EU Association Agreements on Friday, Georgia and Moldova.
"Our joint goal is your full integration into the market of the European Union," Van Rompuy told the three leaders, adding that they must push forward with necessary reforms.
He also expressed the solidarity of the European Union with the three nations in the face of Ukraine's "very difficult" security situation, and the "uncertainties" looming over Georgia and Moldova's relationships with Russia.
At the same time, he stressed that Russia had nothing to fear from those nations' closer ties with Europe, adding that the European Union would engage with Russia to work for peace.
Escalating conflict?
As Ukraine's government works to quell the violence in the country's east, Poroshenko said Thursday that negotiations with Russian separatists in that area will continue Friday.
Peace is possible if Putin is in the right mood, he told CNN's Christiane Amanpour on Thursday in an exclusive interview from Brussels, Belgium.
"Sometimes, the position of Mr. Putin is quite pragmatic, sometimes it is very emotional," Poroshenko said. "I just try to find out the time when he is more pragmatic than emotional."
The talks are intended to end fighting that threatens to escalate into a broader conflict.
"I am optimistic and I'm thinking that within a few weeks, maybe months, we can have a deal to establish peace," Poroshenko said.
Putin has agreed to negotiations that will include an EU representative, Poroshenko said. "We do not expect any immediate negative reaction," he said. "I'm ready to make a peace deal with anybody."
He is also ready to fight if necessary, but said, "I hate the idea not to use the last opportunity to bring the peace to the region."
Asked about the imminent expiration of the cease-fire, Poroshenko said that Ukraine had seen 18 soldiers killed and 33 injured in the past week, while the separatists had shown "no negotiation, no sign of compromise."
But he held out hope for last-minute negotiations Friday and said he could not yet say whether the military action against the separatists would resume.
At the same time, he made clear that in his mind, the Russian annexation of Crimea -- which has an ethnic Russian majority -- cannot stand.
Crimea is Ukrainian, he said.
He made the same point in his remarks Friday, when he said that "all Ukraine, including Crimea" will be associated with the European Union.
Russia and Ukraine have been engaged in a tense standoff since the annexation in March, when Russia also massed troops along its western border with Ukraine.
Kiev and the West have accused Russia of failing to take concrete steps to ease the crisis.
NATO chief Anders Fogh Rasmussen urged Moscow this week "to create conditions for the implementation of the peace plan, to end its support for separatist troops, and to stop the flow of weapons and fighters across its border."
Cease-fire running out
Despite Poroshenko's cease-fire declared last week, violence continues.
On Thursday, a Ukrainian national guard base came under attack in Donetsk, Anti-Terrorist Operation unit spokesman Vladislav Seleznyov said. Ukrainian troops were able to repel the attack, but were bracing for another assault.
Two days earlier, Ukrainian authorities said pro-Russia militants shot down a military helicopter in eastern Ukraine, killing nine.
Friday's negotiations must show some progress before his unilateral cease-fire expires at the end of the day, the President said. He seeks a commitment to negotiations, the release of hostages, a mutual cease-fire and the withdrawal of Russian-backed forces from Ukraine.
"All the troops on Ukrainian territory are Russian, they are Russian citizens," he alleged, adding that separatist leaders were from the Russian secret service. "If that continues, it is a real war."
Putin has shown signs of detente.
On Wednesday, Russia's upper house of parliament voted, at his request, to revoke the President's right to use troops in Ukraine.
Poroshenko said the Russian President recently vowed not to take economic revenge for the move of the former Soviet state toward the West.
READ: Ukrainian President: Peace depends on Putin's mood
READ: Poroshenko sets out Ukraine's European destiny, warns adversaries
CNN's Mick Krever reported from Brussels, while Laura Smith-Spark wrote and reported from London and Ben Brumfield from Atlanta. CNN's Tom Cohen, Olga Pavlova and Radina Gigova contributed to this report.
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