UAE trade deal expected to lift PH exports

Department of Trade and Industry Secretary Ma. Cristina Roque expressed confidence that the Philippines is set for a strong export performance this year, led by a newly-signed free trade agreement with the United Arab Emirates.

Despite challenges in 2025, particularly regarding US tariffs, Philippine merchandise exports remained resilient, she said.

Roque said over the weekend that the government expects a better turnout following the Comprehensive Economic Partnership Agreement (CEPA) with the UAE, under which many Philippine exports will carry preferential or zero tariffs.

She said the UAE hosts the second-largest Filipino population in the world and presents a huge market for Philippine goods, specifically food products and franchised brands.

Under the UAE-Philippines CEPA, 95 percent of traded goods already enjoy preferential tariff treatment, with most qualifying for 0 duty.

Roque identified several sectors expected to benefit from the agreement including agricultural products, cosmetics, personal care items, canned goods such as sardines and tuna, electronics, aerospace and automotive components.

The trade secretary said services would also be a major win for the Philippines, especially for Filipino professionals in the Middle East.

The CEPA will allow Philippine companies to set up operations in the UAE more easily without the need for joint ventures in certain sectors, which could lead to immediate job creation.

Roque cited sectors such as engineering, architecture and IT-BPO as potential growth areas under the new agreement.

To ensure Philippine exporters are ready for the UAE market, she said the government is working to strengthen regulatory and certification systems.

Government measures include beefing up the Food and Drug Administration approval process, improving halal certification and upgrading packaging standards.

Roque said most small companies are ready to export and noted that 3,000 SME products are already being exported.

The zero tariff under the UAE agreement will make Philippine products more competitive in the Middle East, particularly in categories like coconut products which previously competed mainly within ASEAN.

Source: Manila Standard