Dr. Thani bin Ahmed Al-Zeyoudi, UAE 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.
Non-oil trade grows 3.6 percent in 2024
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.
Al Zeyoudi emphasised the importance of the CEPA with the EU, stating, “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.”
The EU is already one of the UAE’s key trading partners, accounting for 8.3 percent of non-oil trade. In 2024, non-oil trade between the two reached $67.6 billion, representing a growth of 3.6 percent over 2023.
UAE-EU CEPA to unlock major investments
“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 UAE. A bilateral FTA would unlock tremendous business opportunities for European and Emirati businesses alike,” stated Maroš Šefčovič.
Šefčovič added that the EU aims 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 the regional cooperation with the Gulf Cooperation Council countries.
During the investment roundtable, representatives from the UAE and the EU private sectors engaged in discussions to identify mutual investment opportunities that can drive innovation and sustainable economic development.
FDI flows between the UAE and the EU are strong and robust, with recent partnerships in data centers in Italy, solar plants in Spain, and neighborhood redevelopment in Budapest. A UAE-EU CEPA has the potential to unlock further opportunities, including a $50 billion AI data center deal with France and a $40 billion commitment in Italy’s energy and defense sectors.
The CEPA program is a key pillar of the UAE’s 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 program has contributed to a record non-oil trade of $816 billion in 2024, marking a 14.6 percent increase over 2023.
