The UAE and Japan have finalized the terms of a Comprehensive Economic Partnership Agreement (CEPA), marking the first such deal Japan has signed with an Arab country. The agreement aims to strengthen trade and investment links between the two nations.
Bilateral trade
The announcement came during the official visit of UAE Minister of Industry and Advanced Technology, Dr. Sultan bin Ahmed Al Jaber, and Minister of Foreign Trade, Dr. Thani bin Ahmed Al Zeyoudi, to Japan. They met with Japan’s Minister of Foreign Affairs, Toshimitsu Motegi, to confirm the agreement.
The CEPA is expected to enhance trade and investment flows while expanding cooperation in sectors including advanced technology, logistics, cybersecurity, healthcare, and education. It also aims to promote partnerships in research and development, innovation, smart mobility, energy security, financial services, and digital transformation.
Dr. Sultan Al Jaber said: “The successful conclusion of negotiations on the Comprehensive Economic Partnership Agreement between the UAE and Japan reflects the leadership’s vision to strengthen economic and trade relations with Japan and underscores the depth of the strategic partnership between our two countries. It also highlights our shared commitment to promoting innovation, industrial development, and sustainable economic growth. The agreement will open new avenues for cooperation in advanced industries, technology, and resilient supply chains, providing greater opportunities for both our private sectors to boost investment and innovation. By strengthening economic integration between our two nations, the agreement will support the development of future reinforce advanced, competitive economies.”
Dr. Thani Al Zeyoudi added: “The positive outcomes of our CEPA negotiations with Japan, one of the world’s largest economies and a key member of the G7, are a significant step forward in enhancing UAE-Japan relations. By removing trade barriers and facilitating increased investment flows, this CEPA will unlock new avenues for our private sectors, fostering lasting partnerships that benefit both countries and contribute to our sustainability goals and shared prosperity.”
Trade growth
Non-oil trade between the UAE and Japan reached $20.3 billion in 2025, a 16.7% increase from 2024. The UAE is Japan’s largest trading partner in the Middle East and Africa, accounting for 39% of Japan’s total trade with Arab and African countries.
The CEPA is part of the UAE’s broader foreign trade strategy, which has seen agreements signed with more than 35 high-growth economies since 2021, opening markets representing nearly a quarter of the world’s population.
tanvir@dubainewsweek.com