Image Credit : WAM
The Comprehensive Economic Partnership Agreement between the United Arab Emirates and Vietnam has officially entered into force, marking a major milestone in strengthening trade and investment ties between the two countries.
The agreement is designed to remove trade barriers, reduce tariffs, and create a strong framework for deeper economic cooperation across a wide range of sectors. It comes as Vietnam continues to cement its position as the UAE’s largest trading partner within the ASEAN region.
Bilateral non-oil trade between the UAE and Vietnam rose by 4 percent in 2024 to reach $12.6 billion. Momentum accelerated further in 2025, with trade volumes surpassing $16.05 billion, a year-on-year increase of 27.4 percent.
With the CEPA now in effect, trade between the two countries is expected to grow further, supported by improved market access and expanded opportunities for private sector collaboration.
Commenting on the development, Dr. Thani bin Ahmed Al Zeyoudi, Minister of Foreign Trade, said the agreement represents a significant step forward in bilateral relations. He noted that the CEPA will not only strengthen trade flows but also unlock new investment opportunities in key sectors including renewable energy, technology, and agriculture.
Under the agreement, tariffs will be eliminated or significantly reduced on more than 90 percent of UAE exports to Vietnam, covering 99 percent of the total export value. Vietnam will also benefit from reduced tariffs on 95 percent of its product categories exported to the UAE, accounting for 99 percent of the total value of Vietnamese goods entering the Emirati market.
The UAE-Vietnam CEPA forms part of the UAE’s broader foreign trade strategy and its ambition to reach AED4 trillion (around $1.1 trillion) in non-oil trade by 2031. Since the CEPA programme was launched in September 2021, the UAE has concluded agreements with more than 30 countries across Asia, Africa, Europe, and the Americas, with 15 agreements currently in force, opening access to markets representing nearly a quarter of the global population.
