Australia and the European Commission yesterday signed a free trade agreement (FTA) in Canberra, concluding eight years of negotiations between Australia and the European Union (EU).
Australia and the European Union (EU) have signed a free trade agreement in Canberra after eight years of negotiations.
The deal is expected to boost trade, investment and economic growth, with Australia projecting a $10 billion annual gain.
EU exporters may save €1 billion in tariffs, while bilateral exports are set to rise significantly over the next decade.
Both sides will now proceed with their respective domestic processes required for the agreement’s formal signature and entry into force.
The agreement is expected to strengthen bilateral trade and investment, support economic growth, and reinforce the shared commitment of Australia and the EU to open, rules-based trade, according to a joint statement issued by Australian Prime Minister, Anthony Albanese and President of the European Commission, Ursula von der Leyen.
Albanese said the agreement could add $10 billion annually to the Australian economy, benefiting consumers and businesses while supporting key manufacturing and primary industry sectors.
Australia also plans to begin negotiations in 2027 to associate with Horizon Europe, the EU’s flagship research and innovation programme. Collaboration under the initiative is expected to advance work in critical and emerging technologies, as well as climate and energy research.
Von der Leyen noted that EU exporters, producers and farmers are expected to save €1 billion in tariffs, while EU goods exports to Australia could grow by 33 per cent over the next decade. She added that farmers would benefit from expanded export opportunities, supported by safeguard measures.
Fibre2Fashion News Desk (DS)