The UAE and Japan have formally concluded negotiations on a Comprehensive Economic Partnership Agreement (CEPA) — a landmark deal that marks the first trade agreement of its kind between Japan and any Arab nation.
What Is the UAE-Japan CEPA?
The UAE and Japan have concluded negotiations for a Comprehensive Economic Partnership Agreement, agreeing on the final provisions of the deal — which is the first of its kind Japan has concluded with an Arab country. The announcement was made during an official visit to Tokyo by Dr. Sultan Al Jaber, UAE Minister of Industry and Advanced Technology, and Dr. Thani Al Zeyoudi, UAE Minister of Foreign Trade.
Which Sectors Will Benefit?
The agreement is expected to enhance trade and investment flows while expanding private sector cooperation across priority sectors including advanced technology, logistics, cybersecurity, healthcare, and education. The CEPA will also open new opportunities for partnership in research and development, innovation, smart mobility, energy security, financial services, and digital transformation.
How Strong Is the Current Trade Relationship?
Bilateral non-oil trade between the UAE and Japan reached $20.3 billion in 2025, growing by 16.7 per cent compared to 2024. The UAE is Japan’s top trading partner across the Middle East and Africa, accounting for 39 percent of Japan’s total trade with Arab and African countries.
How Does This Fit Into the UAE’s Broader Trade Strategy?
Since the UAE’s CEPA programme was launched in September 2021, the UAE has concluded agreements with more than 35 high-growth economies, enhancing market access to regions representing nearly a quarter of the world’s population. This agreement with Japan represents a significant expansion of that strategy into one of the world’s largest economies.
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