The countries’ economy ministers announced the opening of a dialogue toward negotiations for a free trade agreement between the two countries.

Minister of Economy and Industry MK Nir Barkat: “We see the Philippines as a strategic partner for joint efforts and cooperation in a variety of areas, including agriculture, water, energy, cyber, health and sustainability. We are working to expand Israel’s economic ties with East Asian countries as part of a comprehensive approach to developing new markets for Israeli exports.”

The Joint Economic Committee between the governments of Israel and the Philippines convened for the first time July 29, 2025, in Makati City, as part of the economic and diplomatic visit of Minister of Economy and Industry MK Nir Barkat to the Philippines. Under his leadership, the committee dealt with the core areas of economic cooperation between the two countries. This is a significant milestone in strengthening economic ties between the countries and led to a joint announcement to open talks to examine the feasibility of opening negotiations toward a Free Trade Area Agreement (FTA).

The meeting was attended by Israel’s Minister of Economy and Industry MK Nir Barkat and the Minister of Trade and Industry of the Philippines Cristina Roque, along with professional delegations from both countries. At the end of the meeting, it was agreed that working mechanisms and timetables for preparing the negotiations would be formulated in the coming months.

Minister Barkat added during the committee meeting: “A free trade agreement with the Philippines will provide a competitive advantage to Israeli exporters vis-à-vis countries that already enjoy preferential access to one of the growing and central markets in Asia. The agreement is expected to open new opportunities for both Israeli and Philippine companies, diversify Israel’s export targets, and help reduce the cost of living as part of the policy that I am leading.”

During the committee, steps to encourage mutual trade and tourism were also discussed, including the need to consider opening a direct flight route between the countries to strengthen trade and tourism ties.

The visit and the committee are a direct continuation of previous steps. In 2020, an Israeli economic office, led by an economic attaché at the Embassy of Israel in Manila, was opened in Manila, and in 2023, agreements were signed for economic cooperation and investment protection. Now, with the opening of feasibility talks toward a free trade agreement, Israel is deepening its activities with one of the growing markets in Southeast Asia.