EU-PH Free Trade accord praised

Chris Humphrey, executive director of the European Union-Asean Business Council, said the EU-Asean Business Council welcomes the  agreement between European Commission President Ursula von der Leyen and Philippine President Ferdinand Marcos Jr on a free trade deal between the EU and the Philippines.

He said they congratulate the negotiating teams for achieving this significant milestone with determination and strong political will. This is an affirmation of the growing strategic importance of ASEAN to the EU, and a clear signal of the shared commitment to a deep and long-lasting economic partnership.

We look forward to the imminent conclusion of talks, followed by a speedy ratification and implementation process.

“This is a major win for both European and Philippine businesses. The agreement will help provide the stable, predictable and rules-based trading environment that businesses increasingly value amid heightened global uncertainty, and open up significant new commercial opportunities through improved market access, lower trade barriers and greater regulatory certainty. The Philippines now has a strong opportunity to strengthen its competitiveness within ASEAN, both as a destination for European investment and as a more important part of regional value chains. In our latest business sentiment survey, 43% of European business leaders said they plan to expand in the Philippines over the next five years. The challenge now is to translate the country’s strong fundamentals into a competitive operating environment, making it easier for companies to invest, produce and integrate the Philippines into regional supply chains,” Humphrey said.

He added that they urge the EU to “build on this momentum by bringing negotiations with Thailand and Malaysia to a swift close. With the 50th anniversary of ASEAN-EU relations approaching in 2027, concluding these FTAs would send a strong signal of the EU’s long-term economic commitment to Southeast Asia.

However, bilateral agreements should not be the end point. European businesses have consistently called for a region-to-region FTA. We hope the EU and ASEAN will begin laying the groundwork for a broader economic architecture that reflects the scale and strategic importance of the relationship.”