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Manila Bulletin devider Business devider Trade & Industry devider Philippines, UAE to sign historic free-trade pact in mid-January 2026

Philippines, UAE to sign historic free-trade pact in mid-January 2026

Published Dec 29, 2025 10:50 am
The Philippines will sign its comprehensive economic partnership agreement (CEPA) with the United Arab Emirates (UAE) in mid-January as part of the government’s efforts to sustain the growth momentum of exports into next year.
Trade Secretary Cristina Roque said she is scheduled to depart for the UAE in January to sign the CEPA, which would be the country’s first free-trade agreement (FTA) with a Middle Eastern nation.
Roque will be joined by other government officials, including President Ferdinand “Bongbong” Marcos Jr. and Finance Secretary Frederick Go, the former investment czar.
There is no exact date for the signing yet, but it is scheduled to take place in the second week of January, between the 11th and 14th.
The Philippines and the UAE began talks for a CEPA in 2022 to strengthen trade ties, boost investment flows, and remove unnecessary trade barriers.
The trade pact is envisioned to expand Philippine exports of goods and services to the UAE, which is home to over two million overseas Filipinos (OFs).
The UAE was the Philippines’ 18th largest trading partner last year, with total trade between the two countries amounting to $1.83 billion, according to the Philippine Statistics Authority (PSA).
The country’s exports to the UAE reached $390.4 million, while imports from the Middle Eastern nation stood at $1.44 billion.
Trade Undersecretary and Board of Investments (BOI) Managing Head Ceferino Rodolfo previously said the CEPA will also facilitate expanded trade flows to nearby Gulf and African countries.
Rodolfo added that it will pave the way for more investments, particularly from the UAE’s sovereign wealth funds (SWFs), which possess combined assets of an estimated $2.49 trillion.
Roque said the government aims to attract fresh investments into the country’s manufacturing sector, particularly those that are export-oriented.
Based on PSA data, the country’s merchandise exports reached $77.4 billion from January to November, already surpassing last year’s total of $73.27 billion.
The growth in exports this year relied on strong demand in electronics, food products, and consumer goods, defying expectations of a downtrend due to the United States’ (US) tariff policy.
“The continued rise in our exports shows that Filipino-made products remain competitive worldwide,” Roque said.
With global demand showing signs of recovery, the government looks to secure more trade deals to continue the upward trajectory of exports in 2026.
Roque said the government will sign the CEPA with Chile next year, with negotiations already in the final stages.
She also said they are hoping to sign the FTA with the European Union (EU) in the coming year.
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