The Comprehensive Economic Partnership Agreement (CEPA) between the United Arab Emirates and Chile has officially entered into force, marking a new phase in economic cooperation between the two nations.
The agreement aims to significantly enhance bilateral trade and create fresh investment opportunities across key sectors, reflecting both countries’ shared commitment to sustainable economic growth.
In 2024, non-oil trade between the UAE and Chile reached US$270 million, rising to US$153 million in the first half of 2025 — a 7.1 per cent year-on-year increase. With the CEPA now active, trade is projected to exceed US$500 million within five years, supported by improved market access and sectoral collaboration.
Dr. Thani Al Zeyoudi, UAE Minister of Foreign Trade, said: “The implementation of the UAE-Chile CEPA marks a significant milestone in our economic relations, paving the way for enhanced collaboration and investment opportunities in vital sectors such as renewable energy, agriculture, tourism, and infrastructure. This agreement solidifies our shared commitment to fostering open, rules-based trade, which is essential for achieving our mutual economic goals.”
Chile, whose economy exceeds US$300 billion, is recognised for its strengths in manufacturing, finance, energy, tourism, and agriculture, and is one of the world’s largest producers of copper and lithium, offering attractive opportunities for UAE investors.
The CEPA will encourage two-way investment flows, building on existing UAE ventures in Chile such as ADQ’s acquisition of Verfrut, a major fruit exporter, and ADIA’s investment in Mercado Urbano Tobalaba (MUT), Chile’s first urban market.
The partnership is also expected to strengthen the UAE’s position as a global supply chain hub, connecting South America with markets in Africa, Europe, and Asia, while expanding trade in services, logistics, maritime, and tourism.
The agreement will further support food security initiatives, infrastructure development, and agriculture cooperation.
The UAE’s CEPA programme, launched in 2021, is a key pillar of the nation’s foreign trade strategy, targeting US$1 trillion in total trade value by 2031 and aiming to double the size of the economy to more than US$800 billion.
To date, the UAE has concluded 32 CEPA agreements, providing market access to economies representing nearly a quarter of the world’s population.
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