Abu dhabi: The Comprehensive Economic Partnership Agreement (CEPA) between the United Arab Emirates and the Republic of Korea is set to officially enter into force on 1st May 2026. This agreement marks a significant advancement in economic relations between the two nations, aiming to unlock new trade and investment opportunities across multiple sectors while fostering deeper private-sector collaboration.
According to Emirates News Agency, the CEPA represents Korea's first trade agreement with a country in the GCC and the broader Middle East and North Africa region. Under its terms, tariffs will be eliminated or reduced on 91.2 percent of traded goods and services, offering exporters enhanced access to one of Asia's most dynamic markets. The agreement will also remove unnecessary trade barriers, improve market access for services, and provide a structured framework for investment and cooperation, particularly in sectors such as technology, renewable energy, and healthcare.
Bilateral non-oil trade between the UAE and Korea reached US$6.9 billion in 2025, with the new agreement expected to support further growth. Dr. Thani bin Ahmed Al Zeyoudi, Minister of Foreign Trade, stated that the UAE-Korea CEPA's implementation marks a milestone in trade and economic relations with Asia. He emphasized that the agreement will facilitate increased trade flows, create new market opportunities for exporters, and strengthen investment and cooperation across priority sectors, including advanced technology, manufacturing, and logistics. Moreover, this agreement aims to enhance supply-chain resilience and reinforce the UAE's position as a global trade hub.
The UAE stands as Korea's largest trading partner in the GCC, with a combined US$10 billion investment in each other's markets. Numerous Korean companies have established operations in the UAE, presenting substantial potential for creating long-lasting, mutually beneficial opportunities between the two economies.