"President von der Leyen held a cordial phone call with His Highness Sheikh Mohamed bin Zayed Al Nahyan, President of the United Arab Emirates. During their discussion, they agreed to launch negotiations on a free trade agreement," the EU said in a statement.

This development marks a significant and positive step in strengthening EU–UAE relations. Alongside ongoing efforts to negotiate broader Strategic Partnership Agreements, it has the potential to act as a catalyst for deeper engagement between the European Union and the Gulf Cooperation Council (GCC).

President von der Leyen underlined the EU’s strong record in securing high-standard trade agreements and fostering partnerships grounded in open markets and mutual benefit.

In that spirit, the forthcoming negotiations will aim to liberalise trade in goods, services, and investment, while expanding cooperation in key strategic areas such as renewable energy, green hydrogen, and critical raw materials.

President von der Leyen expressed confidence in the ability of both sides to move forward with ambition and speed. Commissioner Maroš Šefčovič is expected to return to the UAE in the near future to advance the talks.

A modern, ambitious agreement would not only strengthen EU–UAE ties but also support broader economic prosperity across the region.

A Comprehensive Economic Partnership Agreement between the UAE, the Arab world's second-largest economy, and the 27-member economic bloc will be a significant milestone at a time of rising global uncertainties, benefiting several sectors, said Monica Malik, chief economist at Abu Dhabi Commercial Bank.

Sources: The National News, The European Commision, Reuters