The European Union is holding formal talks with the United Arab Emirates on free trade. In the initial phase, they are discussing, among other things, lower levies. It would be the EU’s first major trade agreement with a country in the Gulf region.
Ursula von der Leyen, President of the European Commission, speaks of an “important milestone”. The agenda includes renewable energy, space technology and artificial intelligence. Furthermore, the EU and the UAE are discussing opportunities to facilitate digital commerce, such as webshops.
The UAE exports oil, gas and base metals to the EU, among other things. Conversely, the EU supplies, for example, cars, machines and chemical products, but also increasingly green technologies.
Thani Al Zeyoudi, the UAE’s Minister of Trade, wants to reach an agreement with the EU within three to six months. Trade between the two blocs currently consists of 55 billion euros in goods and 39 billion euros in services. The EU currently has 44 trade agreements with 76 countries.