UAE-Ecuador CEPA: A Landmark for Trade, Investment, and Global Integration
The signing of the Comprehensive Economic Partnership Agreement (CEPA) between the UAE and Ecuador represents a significant step forward in strengthening their bilateral economic and trade relations, fostering sustainable development and ensuring deeper integration into global markets.
Rising Trade and Investment
As noted by Dr. Thani bin Ahmed Al Zeyoudi, Minister of Foreign Trade, trade and investment ties between the two nations are experiencing robust growth. In 2025, non-oil trade with Ecuador reached US$373.6 million, reflecting a 3.2 percent growth compared to 2024 and a threefold increase over 2019 levels.
The UAE also stands as Ecuador’s largest trading partner across the Arab world and the African continent, accounting for around 30 percent of Ecuador’s total trade with countries in these regions combined.
To further deepen ties, the countries have finalized an Investment Promotion and Protection Agreement. This pact provides a transparent and stable environment for foreign direct investment, focusing on risk reduction, intellectual property protection, and clear dispute resolution frameworks. It underscores the strength of bilateral relations and sets an effective foundation for boosting trade, facilitating investment, and building robust business networks.
In a move to bolster private sector cooperation, Ecuador has opened a trade office in Dubai.
Trade Liberalization and Market Access
Dr. Thani bin Ahmed Al Zeyoudi emphasized that the CEPA aims to eliminate or reduce customs duties on more than 96 percent of traded goods and products, thereby improving market access for exports and reinforcing supply chains.
The agreement is designed to create a trade and investment corridor linking the UAE with Latin American markets, leveraging the UAE’s status as a global trade hub to facilitate the expansion of Ecuadorian businesses into Asia, the Middle East, and Europe. This corridor is expected to drive investments in vital sectors, enhance private sector partnerships, and promote cooperation among small and medium-sized enterprises (SMEs).
Sectoral Cooperation and Future Prospects
The CEPA is projected to deliver benefits across diverse sectors where the two countries’ strengths are complementary, including renewable energy, agriculture, logistics services, technology, food production, and advanced industries such as artificial intelligence, advanced manufacturing, mining, education, capacity building, tourism, and hospitality.
Existing efforts in the logistics sector, as highlighted by Dr. Thani bin Ahmed Al Zeyoudi, already provide a solid foundation for future expansion and intensified cooperation under the CEPA.
Team V.4-EM-UAE
