PH, UAE ink historic free trade deal

The Philippines and the United Arab Emirates on Tuesday signed a historic free trade agreement as part of Manila’s efforts to expand its global trade footprint.

President Ferdinand “Bongbong” Marcos Jr. and UAE President Sheikh Mohamed bin Zayed Al Nahyan witnessed the historic signing of the Comprehensive Economic Partnership Agreement (CEPA).

The inking of the historic trade deal was conducted on the sidelines of the Abu Dhabi Sustainability Week (ADSW) 2026 Summit held at the Abu Dhabi National Exhibition Center. 

The CEPA is the Philippines’ first free trade agreement with a Middle Eastern country and is a milestone in expanding its global trade footprint.

The free trade deal seeks to reduce tariffs, enhance market access for goods and services, increase investment flows, and create new opportunities for Filipino professionals and service providers in the UAE.

The agreement covers strategic sectors such as digital trade, MSMEs, sustainable development, intellectual property, competition and consumer protection, government procurement, and technical cooperation.

Philippine exports that are expected to benefit from the CEPA include bananas, pineapples, canned tuna, electronics, machinery, and other high-demand products.

The Presidential Communications Office (PCO) said bilateral trade between the two nations reached nearly US$1.83 billion in 2024, with the UAE ranking 18th among the Philippines’ trading partners and accounting for nearly 39 percent of Philippine exports to the Middle East.

The agreement is seen to boost Philippine exports to the UAE by 9.13%, generate consumer savings, and strengthen overall trade linkages with the Gulf region. 

On services, the deal will also ensure a stable, non-discriminatory environment for Filipino firms including MSMEs across various sectors like IT-BPM, tourism, healthcare, education, construction, and professional services.

The CEPA is expected to complement the Philippines’ network of FTAs with Japan, South Korea, European Free Trade Association (EFTA), and regional agreements within the Association of Southeast Asian Nations (ASEAN) and trade partners, including the Regional Comprehensive Economic Partnership Agreement. 

It will also reinforce current agreements between the Philippines and the UAE including the Investment Promotion and Protection Agreement and cooperation on trade, energy, logistics, innovation, and tourism. — JMA, GMA Integrated News