Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade, welcomed Maroš Šefčovič, EU Commissioner for Trade and Economic Security, to the UAE for ongoing talks regarding the Comprehensive Economic Partnership Agreement (CEPA) between the UAE and the EU.
The visit also included an investment roundtable with representatives from leading private sector companies aimed at exploring opportunities for increased collaboration and investment flows between the EU and UAE.
UAE and EU trade deal
The UAE-EU CEPA is poised to be a significant milestone in strengthening economic ties and unlocking new avenues for trade and cooperation.
The agreement will pave the way for the removal of trade barriers, enhance market access for goods and services, and stimulate investment in key sectors.
By consolidating access to the EU market, the second largest economic bloc in the world, the CEPA will reinforce the UAE’s status as a global trade and logistics hub.
The EU is already one of the UAE’s key trading partners, accounting for 8.3 per cent of non-oil trade.
In 2024, non-oil trade between the two reached $67.6bn, representing a growth of 3.6 per cent over 2023.
Al Zeyoudi said: “Our negotiations toward a UAE-EU Comprehensive Economic Partnership Agreement is of great importance to both the UAE and the EU and represents an extraordinary opportunity for us both to enhance trade and investment ties that will foster greater collaboration and create mutual benefits and prosperity.
“By working together, we will strengthen our supply chains, drive innovation, and create jobs that will benefit our communities and economies for many years to come.”
Maroš Šefčovič said: “Europe continues to be a reliable trading partner, which respects the deals it makes. And it is natural to seek to grow our relations with long-standing and trusted partners like the United Arab Emirates.
“A bilateral FTA would unlock tremendous business opportunities for European and Emirati businesses alike. Our aim is therefore to reach an ambitious deal that is commercially meaningful on both sides – one that brings tangible, lasting benefits, along with predictability, so essential to any successful business.
“This would add strength to our regional cooperation with the Gulf Cooperation Council countries.”
During the investment roundtable, representatives from the UAE and the European private sectors, engaged in discussions to identify mutual investment opportunities that can drive innovation and sustainable economic development.
FDI flows between the UAE and EU are strong and robust, with recent partnerships in data centres in Italy, solar plants in Spain, and neighbourhood redevelopment in Budapest.
A UAE-EU CEPA has the potential to unlock further opportunities, including:
- A $50bn AI data centre deal with France
- A $40bn commitment in Italy’s energy and defence sectors.
The CEPA programme is a key pillar of the United Arab Emirates’ foreign trade agenda, reflecting the nation’s commitment to open, rules-based trade to drive economic growth and diversify its economy.
By enhancing access to global markets and establishing stronger trade and investment flows with partners around the world, the CEPA programme has contributed to a record non-oil trade of $816bn in 2024, marking a 14.6 per cent increase over 2023.
