UAE and Japan sign CEPA agreement to expand trade and investment ties

The UAE and Japan have signed a Comprehensive Economic Partnership (CEPA) agreement aimed at strengthening bilateral trade and investment ties across a wide range of sectors. According to official statements, the agreement is expected to lower certain trade barriers, facilitate market access, and further deepen economic cooperation between the two countries once it enters into force. The deal will cover several areas, including trade, investment and industrial cooperation, reflecting the growing economic partnership between the UAE and Japan.

Although the agreement covers several industries, market participants indicate that its direct impact on steel trade may remain limited. Several flat steel products, including hot-rolled coil imports to the UAE, are already subject to zero import duties, reducing the potential for significant tariff changes in this segment.

However, industry sources note that the agreement may continue to support closer economic cooperation between the UAE and Japan and encourage investment in the industrial and manufacturing sectors, which may indirectly support steel demand in the long term.