THE Philippines and the United Arab Emirates (UAE) on Tuesday signed a free trade agreement (FTA) that is expected to significantly expand Philippine market access in the Middle East.
President Ferdinand Marcos Jr. and UAE President Sheikh Mohamed bin Zayed Al Nahyan witnessed the signing and exchange of the Comprehensive Economic Partnership Agreement (CEPA) at the sidelines of the Abu Dhabi Sustainability Week 2026 Summit at the Abu Dhabi National Exhibition Center.
The CEPA is the Philippines’ first free trade pact with a Middle Eastern country, marking a milestone in expanding the nation’s global trade footprint.
The agreement, signed on behalf of the Philippines by Trade Secretary Ma. Christina Roque, aims 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.
It also covers strategic sectors such as digital trade; micro, small and medium enterprises (MSMEs); sustainable development; intellectual property; competition and consumer protection; government procurement; and technical cooperation.
Philippine exports expected to benefit include bananas, pineapples, canned tuna, electronics, machinery, and other high-demand products.
Bilateral trade between the two nations reached nearly $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.
Preliminary studies indicate the CEPA could boost Philippine exports to the UAE by 9.13 percent, generate consumer savings, and strengthen overall trade linkages with the Gulf region.
On services, the agreement ensures a stable, non-discriminatory environment for Filipino firms, including MSMEs, across sectors like information technology and business process management, tourism, health care, education, construction and professional services.
The CEPA is also expected to further complement the Philippines’ network of FTAs with Japan, South Korea, the European Union, and regional pacts within the Association of Southeast Asian Nations and its trade partners, plus the Regional Comprehensive Economic Partnership Agreement.
It will also reinforce existing Philippines-UAE agreements, including the Investment Promotion and Protection Agreement and cooperation on trade, energy, logistics, innovation and tourism.
Tuesday’s signing ceremony was followed by a brief meeting between the two leaders, marking their second engagement since November 2024 and signaling a deepening partnership between Manila and Abu Dhabi.
Meanwhile, both the Philippines and the UAE are also expected to sign a defense agreement, which aims to establish a framework for collaboration in defense technologies and capabilities between the two countries.
Marcos, in his departure statement on Monday, said these agreements and the outcomes of the visit were expected to benefit not only Filipinos in the Philippines but also the approximately 900,000 Filipinos residing in the UAE.
Aside from multilateral engagements, Marcos is scheduled to hold business meetings and meet with members of the Filipino community during his visit, the first by a Philippine leader since former president Gloria Macapagal-Arroyo’s trip in 2008.
