UAE and New Zealand Forge Historic Comprehensive Economic Partnership Agreement

 In a significant milestone for international trade and diplomatic relations, His Highness Sheikh Mohamed bin Zayed Al Nahyan, President of the UAE, and Christopher Luxon, Prime Minister of New Zealand, witnessed the signing of the Comprehensive Economic Partnership Agreement (CEPA) between the two nations. This historic agreement, designed to enhance economic ties, reduce trade barriers, and improve bilateral investment, was formalized at the Abu Dhabi National Exhibition Centre (ADNEC). The agreement was signed by Dr. Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade, and Todd McClay, New Zealand's Minister of Trade.



The signing of the CEPA marks a new era of cooperation between the UAE and New Zealand, focusing on economic growth, sustainable development, and innovation. The agreement represents a shared vision of both countries to build stronger, future-ready economies through open trade, investment, and collaboration. It is expected to significantly impact sectors ranging from trade and industry to women’s empowerment and sustainability.

Strengthening Trade Ties

The CEPA aims to streamline customs procedures and eliminate trade barriers, making it easier for goods and services to flow between the two countries. As part of the agreement, UAE imports to New Zealand will enjoy 100% duty-free access. In return, New Zealand’s exports to the UAE will receive 98.5% duty-free access, with this figure expected to rise to 99% within three years. This tariff reduction is expected to facilitate trade in key sectors such as agriculture, food, technology, and manufacturing, further strengthening economic ties between the two nations.

The agreement also includes provisions to enhance the regulatory environment, ensuring that businesses in both countries benefit from greater transparency and streamlined procedures. This will encourage the growth of bilateral trade and investment by providing a more predictable and efficient framework for both parties.

A Strong Economic Foundation for Future Generations

In his remarks, His Highness Sheikh Mohamed bin Zayed Al Nahyan emphasized the importance of the CEPA as a major step toward building a more robust and resilient economy for both countries. He stated that the agreement would serve as an essential foundation for future growth and collaboration, underscoring that the UAE and New Zealand’s partnership will be driven by knowledge, innovation, and expertise.

“This agreement is an important addition to the UAE's CEPA program and strengthens our ties with the Asia-Pacific region, which is home to some of the most developed and open markets in the world,” Sheikh Mohamed remarked. He further highlighted that the CEPA aligns with the shared ambitions of both nations to foster economies that are sustainable, innovative, and prepared for future challenges.

Both leaders emphasized that the CEPA’s positive impact would not be limited to economic growth alone. By enhancing bilateral cooperation in areas such as sustainable development, women’s empowerment, and transparency, the agreement seeks to create a more inclusive and responsible trade relationship that benefits both nations and their people for generations to come.

Boosting Bilateral Trade and Investment

The trade relationship between the UAE and New Zealand has been growing steadily. Non-oil bilateral trade between the two countries reached $642 million in the first nine months of 2024, marking an 8% increase compared to the same period in 2023. The CEPA is expected to significantly boost these figures, with projections estimating that bilateral trade could increase to $5 billion by 2032, three times the $1.5 billion in trade between the UAE and New Zealand between 2019 and 2023.

This growth is set to be facilitated by increased access to markets and the reduction of trade barriers in key sectors such as agriculture, food production, energy, renewable resources, and high-tech industries. Both countries stand to benefit from the agreement by diversifying their trade portfolios and accessing new markets for their goods and services.

A Groundbreaking Agreement for New Zealand

The CEPA is particularly significant as it represents New Zealand’s first trade agreement with a Middle Eastern country, further solidifying its economic presence in the region. New Zealand, known for its thriving agricultural, technology, and services sectors, stands to benefit significantly from this agreement. The UAE’s well-established position as a regional and global trade hub offers New Zealand an opportunity to expand its exports to the wider Middle East, Africa, and Asia regions.

Furthermore, the CEPA is one of the most extensive agreements the UAE has entered into, covering a wide range of sectors. In addition to trade, the agreement also includes provisions for sustainable development, with both nations committing to advancing initiatives aimed at tackling climate change, promoting clean energy, and building resilient communities.

Bilateral Investment Agreement

In parallel with the CEPA, the UAE and New Zealand signed a bilateral investment agreement aimed at protecting and promoting investments across a wide range of sectors. The agreement will provide a solid framework for UAE-New Zealand investment relations, encouraging collaboration in sectors such as technology, energy, healthcare, tourism, and infrastructure.

This investment agreement is designed to attract capital and expertise from both countries, helping businesses to expand their operations and improve innovation in various industries. It will also enhance the flow of capital and strengthen financial cooperation between the two nations.

Looking to the Future

The signing of the CEPA marks the beginning of an exciting new chapter in the relationship between the UAE and New Zealand. By focusing on innovation, sustainability, and economic collaboration, the two countries are laying the groundwork for a prosperous and dynamic future. The agreement not only promises to boost trade and investment but also strengthens the shared values of both nations, setting the stage for deeper cooperation and lasting partnerships.

With ambitious trade targets and a strong focus on sustainable development, the CEPA is poised to become a model for future trade agreements that prioritize innovation, inclusivity, and mutual prosperity. Both nations are committed to making the most of this opportunity and look forward to the enduring positive impact the CEPA will have on their economies and societies for years to come.

Comments

Post a Comment

Popular posts from this blog

WHAT DINA THINKS: Insights into UAE Leaders by British Author Graeme Wilson

Image
In a world often shrouded in secrecy, British author Graeme Wilson brings forth a collection of untold stories shedding light on the remarkable endeavors of the UAE's visionary leaders. With over three decades of residing in the UAE and a prolific literary career spanning 50 books, including numerous biographies of global figures, Wilson is uniquely positioned to unveil narratives that transcend borders. Wilson's latest revelations center around the transformative impact of the late Sheikh Zayed bin Sultan Al Nahyan and late Sheikh Rashid bin Saeed Al Maktoum, whose vision laid the foundation for the UAE's meteoric rise. However, it's not just the past leaders who captivate Wilson's attention; his insights extend to the contemporary figures shaping the nation's destiny. At the forefront is the dynamic duo of President Sheikh Khalifa bin Zayed Al Nahyan and Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE, whose initiatives reso...
Read more

WHAT DINA THINKS: Unexpected Downpour, Dubai Malls Transform into Water Wonderland

Image
Heavy rains recently turned the bustling malls of Dubai into unexpected water playgrounds, leaving visitors astonished as water cascaded through ceilings, disrupting regular operations and causing minor flooding in some areas. Videos circulating on social media captured the surreal scenes as water splashed at the feet of surprised shoppers, turning ordinary mall visits into unforgettable experiences. The unexpected downpour transformed the sleek interiors of Dubai's malls into temporary water wonderlands, showcasing the city's resilience in the face of nature's whims. The unprecedented event prompted a swift response from mall management, with the group issuing statements acknowledging the disruptions to regular operations. Despite the challenges posed by the sudden influx of water, mall staff worked diligently to ensure the safety of visitors and mitigate the impact of the flooding. While such occurrences may be rare, they serve as a reminder of the dynamic relationship be...
Read more

WHAT DINA THINKS: Dubai Floods, Residents Rescued by Kayaks as Water Levels Rise in Community

Image
As water levels slowly recede across central Dubai after Tuesday's record-level rainfall, one neighborhood finds itself in a dire situation, turning the situation harrowing in the last few hours. In the gated sub-communities of Arabella 1 and 2, in Mudon, residents have been forced to evacuate their homes and rescued using kayaks, inflatable boats, and makeshift rafts. Trucks meant to pump out water and security vehicles could not reach the neighborhood due to the high water levels, leaving residents stranded amidst rising floodwaters. For those without access to such rescue boats, wading through waist-deep, foul-smelling water while carrying children was the only way out to safety. The scenes unfolding in Arabella 1 and 2 paint a stark picture of the challenges faced by residents during times of extreme weather events. Despite the adversity, the spirit of community and resilience shines through as neighbors come together to assist one another in evacuation efforts. While the immed...
Read more