UAE, Australia Launch Comprehensive Economic Partnership Agreement
The United Arab Emirates (UAE) and Australia have taken a significant step in boosting their economic ties. They have officially launched their Comprehensive Economic Partnership Agreement (CEPA), which aims to expand trade, enhance investment opportunities, and foster collaboration across various industries.
The UAE, which has concluded 31 CEPAs to date, sees this agreement as a crucial move in its broader economic vision. This vision targets a total trade value of $1 trillion and aims to double the economy to over $800 billion by 2031. Dr. Thani bin Ahmed Al Zeyoudi, UAE's Minister of Foreign Trade, hailed the CEPA as a pivotal step in enhancing the UAE's economic partnership with Australia.
Australia, considering the UAE its leading trade partner in the Middle East and 20th largest globally, welcomes this agreement. Mutual investment stands at $14 billion, with 300 Australian companies operating in the UAE. The CEPA focuses on removing trade barriers, facilitating market access, and establishing a framework for investment and collaboration in sectors like renewable energy, infrastructure, food security, and technology. The UAE's non-oil trade with Australia in the first half of 2025 reached $3.03 billion, up 33.4 percent year-on-year, indicating a robust trade relationship.
With the CEPA now in effect, the UAE and Australia are poised to deepen their economic cooperation. The Australian Department of Foreign Affairs and Trade (DFAT) is actively involved in implementing the agreement. Both nations aim to capitalize on growing trade and investment opportunities, with annual trade expected to increase from US$4.2 billion in 2024 to over US$10 billion by 2032.
