EU and UAE Initiate Free Trade Talks Amid Global Uncertainty

The European Union and the United Arab Emirates have agreed to begin free trade negotiations. The talks will focus on reducing trade barriers and improving cooperation in sectors like renewable energy and artificial intelligence. This move aims to enhance economic ties and promote growth amid global trade uncertainties.

The European Union and the United Arab Emirates announced the commencement of free trade talks, a significant move aimed at strengthening bilateral trade relations. This decision comes in response to the global trade instability following U.S. tariff policies.

The announcement followed a telephone conversation between the European Commission President, Ursula von der Leyen, and UAE President Sheikh Mohamed bin Zayed Al Nahyan. They agreed to initiate discussions for a Comprehensive Economic Partnership Agreement (CEPA) focusing on trade in goods, services, and investments.

The proposed agreement is expected to reduce tariffs and trade barriers, fostering growth in strategic sectors such as renewable energy and artificial intelligence. As the UAE ranks as the EU's largest export destination in the Middle East, the deal signifies a deepening of economic ties between the two regions.

(With inputs from agencies.)