The comprehensive economic partnership agreement between the UAE and New Zealand has officially come into effect, marking a significant advancement in trade and investment relations between the two countries. Signed in January 2025, this agreement sets a robust framework aimed at enhancing economic collaboration across various sectors. It is anticipated that the agreement will boost non-oil trade between the nations to exceed $5 billion annually by 2032, compared to an average of $1.5 billion from 2019 to 2023. This partnership will also work to eliminate or reduce tariffs, streamline customs procedures, and strengthen cooperation within the private sector. As New Zealand’s first such agreement with a Middle Eastern country, this represents a strategic move to solidify its economic ties in the region.
A Significant Milestone
His Excellency Dr. Thani bin Ahmed Al Zeyoudi, Minister of Foreign Trade, stated, “The entry into force of the comprehensive economic partnership agreement between the UAE and New Zealand represents a significant milestone in the path of relations between our two friendly nations. It enhances innovation and sustainable growth in a manner that serves our mutual interests. This agreement is not limited to bolstering trade ties; it also opens new horizons for investment and private sector cooperation in vital areas such as food production, education, renewable energy, and advanced technologies.”
Sustainable Growth Opportunities
New Zealand’s Minister of Trade and Investment, Todd McClay, expressed, “This agreement marks a turning point in the history of New Zealand trade. Alongside the opportunities it creates for our producers and investors, it reflects a shared commitment to sustainable growth. We look forward to deepening our partnership with the UAE in the most critical sectors for the people of both countries, from food and energy to innovation and education.”
Tariff Reductions and Economic Commitments
Under the terms of the agreement, New Zealand will grant a 100% customs duty exemption on imports from the UAE, while the UAE will provide a 98.5% exemption on New Zealand products. This comprehensive agreement underscores both countries’ commitment to bolstering their economic relations and maximizing mutual benefits. Furthermore, the comprehensive economic partnership program is a pivotal element of the UAE’s foreign trade strategy, aiming to elevate total trade value to 4 trillion dirhams by 2031. Since its launch in September 2021, the program has successfully concluded agreements with 28 countries, enhancing trade relationships and opening markets for UAE companies, reaching nearly a quarter of the world’s population.