BRUSSELS, April 10 – The European Union and the United Arab Emirates have officially agreed to launch negotiations for a free trade agreement, as both sides seek to strengthen economic ties amid global uncertainty following recent U.S. tariff policies.
According to a statement from the European Commission, Commission President Ursula von der Leyen and UAE President Sheikh Mohamed bin Zayed held a phone call during which they agreed to initiate talks aimed at reaching a Comprehensive Economic Partnership Agreement (CEPA).
The negotiations will cover trade in goods and services, investment, and collaboration in key strategic areas such as renewable energy, green hydrogen, and critical raw materials. The UAE’s state news agency (WAM) noted that the deal is expected to reduce tariffs, eliminate trade barriers, and open new opportunities in sectors like advanced manufacturing, healthcare, logistics, and artificial intelligence.
The EU is currently the UAE’s second-largest trading partner, contributing to 8.3% of its non-oil trade. The UAE also stands as the EU’s top export destination and investment partner in the MENA region.
Source: Reuters