Economy Middle East | 2 March 2026
UAE-Ecuador CEPA to eliminate 96 percent of tariffs, hailed as strategic milestone
By Elias Al Helou
Dr. Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade, has hailed the Comprehensive Economic Partnership Agreement (CEPA) between the UAE and Ecuador as a strategic milestone. In a statement to the Emirates News Agency (WAM), he noted that the agreement opens new horizons for mutual investment and sustainable development while enhancing integration with global markets. The UAE currently stands as Ecuador’s largest trading partner across the Arab world and the African continent, accounting for roughly 30 percent of Ecuador’s total trade with these regions combined.
Rapid growth in non-oil trade
Trade and investment relations between the two countries have seen consistent upward momentum, with non-oil trade reaching $373.6 million in 2025. This represents a 3.2 percent growth compared to 2024 and is more than triple the levels recorded in 2019. To support this trajectory, the two nations have signed an Investment Promotion and Protection Agreement, establishing a transparent environment for foreign direct investment by reducing risks and protecting intellectual property. The opening of an Ecuadorian trade office in Dubai further serves as a dedicated platform to facilitate private sector cooperation and networking.
Tariff elimination and market access
A central component of the CEPA is the elimination or reduction of customs duties on more than 96 percent of exchanged goods and products. This significant reduction is expected to improve export access and strengthen global supply chains. Dr. Al Zeyoudi explained that the agreement creates a vital trade and investment corridor, linking the UAE to Latin American markets while positioning the UAE as a gateway for Ecuadorian companies to expand into Asia, the Middle East, and Europe. This partnership is designed to specifically benefit small and medium-sized enterprises and enhance private sector partnerships in both regions.
Sector integration and future cooperation
The agreement targets several high-integration sectors, including renewable energy, agriculture, logistics, and advanced technology such as artificial intelligence and advanced manufacturing. Other key areas of focus include mining, education, tourism, and hospitality. Dr. Al Zeyoudi noted that existing cooperation in the logistics sector already forms a solid foundation for the expansion expected under this agreement. By building these ambitious developmental partnerships with prominent growth centers, the UAE continues to focus on its vision of becoming a global trade hub connected to key gateways like Ecuador.
