Nearly 95 percent of Philippine exports to the United Arab Emirates will now enjoy preferential tariff treatment, giving Filipino manufacturers a sharp competitive edge under the newly signed Comprehensive Economic Partnership Agreement (CEPA), the Department of Trade and Industry said.
The DTI said early export winners include personal care and cosmetic products such as hair creams and deodorants; food items like canned tuna, sardines, snacks, and condiments; electronics ranging from hair dryers to instant-print cameras; and higher-value goods such as automotive and aircraft components, textiles, and apparel. These sectors are expected to scale up production, boost exports, and support job creation at home.
But the bigger upside may lie beyond goods. CEPA strengthens the Philippines’ position in services by setting clearer, more predictable rules for professional services, construction, retail, IT-BPM, and tourism.
For Filipino firms, this lowers entry barriers in a market hungry for skills and specialization. For UAE investors, it sharpens the case for using the Philippines as a regional hub for services, talent, and digital operations.
Signed in Abu Dhabi by Trade Secretary Cristina A. Roque and UAE Minister of Foreign Trade Thani bin Ahmed Al Zeyoudi, in the presence of President Ferdinand R. Marcos Jr. and UAE President Mohamed bin Zayed Al Nahyan, the agreement is the Philippines’ first free trade deal in the Middle East—a strategic milestone as Manila diversifies beyond traditional markets.
CEPA also expands cooperation in digital trade, MSME development, sustainability, intellectual property, competition policy, government procurement, and technical assistance.
Together, these provisions signal a shift from transactional trade to deeper economic integration, particularly as the UAE remains one of the Philippines’ top trading partners.
“Following President Ferdinand R. Marcos Jr.’s directive, we are using strategic trade deals to move Philippine businesses into higher-value markets and more integrated supply chains,” Roque said.
The near-term gains are tariff cuts. The longer-term play is positioning Philippine firms higher up the value chain—using CEPA not just to sell more, but to sell smarter, faster, and deeper into the Gulf.
