UAE, Ukraine Conclude Bilateral Trade Deal Talks

UAE, Ukraine Conclude Talks on Bilateral Trade Agreement

ABU DHABI: The United Arab Emirates and Ukraine have successfully concluded negotiations for a bilateral trade agreement, as announced in a joint statement released on Monday, laying the groundwork for its impending formalization.

The Comprehensive Economic Partnership Agreement (CEPA) is poised to usher in a new era of economic collaboration, aiming to dismantle barriers to trade by eliminating or reducing tariffs on a wide spectrum of goods and products. Moreover, the agreement pledges to dismantle trade barriers and facilitate market access for exporters from both nations, promising a conducive environment for bilateral trade expansion and investment growth.

In addition to its immediate economic implications, the CEPA holds broader significance for Ukraine’s post-conflict recovery and reconstruction efforts. By fostering closer economic ties, the agreement is poised to play a pivotal role in revitalizing key industries and infrastructure in Ukraine, laying the groundwork for long-term economic stability and growth. Furthermore, the CEPA is expected to bolster supply chains to the Middle East and North Africa (MENA) region, particularly for major Ukrainian exports such as grains, machinery, and metals, thereby enhancing regional economic integration and cooperation.

Despite mounting pressure from Western powers to take a stance on the Ukraine conflict, the UAE has maintained a stance of neutrality. The initiation of trade negotiations with Ukraine in late 2022 underscores the UAE’s commitment to fostering economic partnerships based on mutual benefit and cooperation.

In 2023, bilateral non-oil trade between the UAE and Ukraine amounted to $385.8 million, reflecting the growing economic ties between the two nations. Moreover, joint investment ventures valued at approximately $360 million by the end of 2022 underscore the burgeoning collaboration across various sectors, including logistics, infrastructure, travel and tourism, and advanced technology.

As Ukraine grapples with the aftermath of the conflict with Russia, the UAE remains steadfast in its commitment to supporting Ukraine’s recovery efforts. Thani al Zeyoudi, UAE Minister for Foreign Trade, emphasized the strategic importance of the CEPA in positioning the UAE for future opportunities in Ukraine and beyond.

“The CEPA marks a significant milestone in our bilateral relations, providing a gateway to Europe through Ukraine,” remarked Zeyoudi. He further highlighted the potential for enhanced market access, not only for goods but also for services, and underscored the role of the agreement in fostering greater connectivity between UAE companies and the European Union, should Ukraine accede to the bloc in the future.