The DIHK is urging for the rapid conclusion of an ambitious trade agreement between the European Union and the UAE – going significantly beyond mere tariff reductions. From the DIHK's perspective, the focus is primarily on better market access for goods and services, the removal of regulatory obstacles, and reliable rules for investments and digital trade. This is highlighted in a current position paper by the DIHK.

"A trade agreement must not only exist on paper but must also be tangible in everyday business operations," says DIHK foreign trade chief Volker Treier on 08.09.2026. "Double certifications, cumbersome approval procedures, and unclear rules cost companies time and money. A modern agreement should eliminate such hurdles and provide especially smaller companies with easier market access."

"The Gulf region is one of the most strategically important economic and energy regions in the world. The tensions around the Strait of Hormuz remind us again of how closely energy supply, international trade routes, and global supply chains are interwoven," Treier continued. "Especially in geopolitically uncertain times, economic proximity to stable trade partners pays off – an agreement with the UAE would be a key component in this regard."

"Open markets and reliable partnerships are Europe's best answer to a fragmented global economy."

Economically, the UAE is already an important trade and investment partner for Germany: bilateral trade volume stood at 13.3 billion euros in 2025, while German exports to the Emirates have risen by 66 percent since 2020 to 11.4 billion euros. In addition, German investments in the UAE total 5.2 billion euros, matched by UAE investments in Germany of 2.3 billion euros. At the same time, the crisis-related 24 percent decline in German exports in the first four months of this year demonstrates how crucial stable economic policy frameworks are for internationally active businesses.

At the same time, the DIHK advocates advancing trade discussions with the other states of the Gulf Cooperation Council (GCC) with determination: Bahrain, Qatar, Kuwait, Oman, Saudi Arabia, and the United Arab Emirates. Where a comprehensive agreement may not be achieved in the short term, bilateral agreements should serve as pragmatic interim steps, later transitioning into a unified EU-GCC framework. "German companies need more options to diversify," says Treier. "An agreement with the UAE helps to broaden supply chains and reduce dependence on specific regions. Other economies have long since concluded modern agreements with the UAE and thereby gained advantages. Every year without an EU agreement is a year in which European companies fall behind in competition."

Background

The EU began trade negotiations with the Gulf Cooperation Council in 1990, which were paused in 2008. Since May 2025, bilateral negotiations between the EU and the UAE have been underway.

Download