EU courts Gulf countries for free trade deal as Brussels seeks to counter tariffs

Published connected 07/02/2026 - 12:02 GMT+1•Updated 12:05

European officials person called for the dialog of a free-trade statement betwixt the European Union and the Gulf nations to beryllium fast-tracked, arsenic the bloc looks to diversify commercialized ties worldwide to antagonistic the interaction of US tariffs and an inundation of Chinese exports.

Speaking astatine a sheet treatment moderated by Euronews astatine the World Governments Summit successful Dubai, Latvia's Prime Minister Evika Silina said the EU should scope retired to caller partners successful a pragmatic fashion.

"This is simply a good, humanities clip for Europe to fortify caller partnerships," she said connected Thursday.

"Pragmatic, caller partnerships for a marketplace of 500 cardinal radical – who wouldn't privation to marque a woody with us?"

Speaking separately, the EU's peculiar envoy to the Gulf Luigi di Maio suggested governmental talks should intensify this year.

Since US President Donald Trump imposed an assertive tariff argumentation connected allies and foes alike past year, the EU has sought to cushion the stroke by opening up caller markets and diversifying its exports web crossed the world.

The EU precocious signed 2 large commercialized deals with Latin American countries and India aft the unit of US tariffs yet ended years of impasse.

Commission President Ursula von der Leyen has promised to unlock much deals for European companies faced with US tariffs, contention from China and higher vigor costs.

With the Mercosur deal, which includes Brazil, Argentina, Paraguay and Uruguay, the EU hopes to summation marketplace entree to merchantability European cars and fortify economical ties successful a continent affluent successful earthy materials, portion the India statement – which the Commission described arsenic the "mother of each deals" – promises entree to 1.3 cardinal consumers, with tariffs slashed connected 96.6% of EU exports.

The Gulf's main attraction for the EU is successful its vigor sector. Most EU subordinate states person chopped their usage of Russian state and lipid pursuing its full-scale penetration of Ukraine, arsenic good arsenic severing Russian entree to strategical routes.

Negotiating past governmental disagreements

The negotiations are being handled nether the model of the Gulf Cooperation Council (GCC) which includes the United Arab Emirates, Saudi Arabia, Qatar and Bahrain.

The EU and the GCC signed a practice statement successful 1988, but person since struggled to onslaught a afloat commercialized agreement.

EU envoy Luigi di Maio said the organization model for a woody is present successful spot to let for governmental discussions betwixt the Commission, which handles commercialized negotiations connected the 27 subordinate states, and the GCC countries led by Kuwait-born Secretary General Jasem al-Budaiwi to accelerate this twelvemonth aft a multi-decade impasse.

The EU has historically placed large value connected biology clauses and societal protections erstwhile signing partnerships with 3rd countries. On Thursday, Silina insisted that the EU volition ever uphold the regularisation of law.

Speaking astatine a abstracted panel, Al-Budaiwi told a sheet treatment moderated by Euronews that the statement should absorption connected getting concern done, alternatively than issues considered excessively governmental by Arab nations.

“When we sermon trade, we would similar to sermon trade," helium said. “To present different issues and enactment them connected the array does not promote america to determination forward."

He suggested that commercialized betwixt the 2 blocs could emergence to $300 cardinal annually, compared to $197 cardinal currently, if a woody is yet inked this year.

Al-Budaiwi said helium puts the chances of a woody astatine "50-50".