Australia-UAE trade deal cuts tariffs on 99% of products

Australia announced a new trade agreement with the United Arab Emirates (UAE) on Tuesday, eliminating tariffs for nearly 99 per cent of Australian products, saving A$135 million ($91 million) in the first year.

The trade agreement is projected to boost Aussie exports by A$678 million annually, according to Trade Minister Don Farrell.  However, the significance of this deal for Australia goes beyond just numbers, Farrell emphasised.

The agreement also outlines a plan to increase investment from Abu Dhabi in critical minerals, with the mining industry set to benefit from tariff reductions on alumina exports, as stated by Farrell in a press release.

The UAE is Australia’s largest trade and investment partner in the Middle East, with bilateral trade valued at A$9.9 billion last year and two-way investment totalling A$20.6 billion.

The trade deal is set to take effect later this year. The Australian Meat Industry Council has praised the agreement, stating that it will provide farmers with increased access to an important market for Australian beef, lamb, and goat meat.

Attribution: Reuters

Subediting: M. S. Salama