The European Union has completed the ratifying procedures of the ambitious free trade agreement (FTA) with New Zealand. <\/p>\n
The Council of the European Union on Monday decided to ratify the deal less than a week after the European Parliament gave its consent.<\/p>\n
The deal is expected to cut some EUR140 million a year in duties for EU companies. As a result, bilateral trade is expected to grow by up to 30 percent within a decade, with EU exports growing by up to EUR4.5 billion annually. EU investment into New Zealand is expected to grow by up to 80 percent. <\/p>\n
This landmark agreement also includes unprecedented sustainability commitments, including respect of the Paris Climate Agreement and core labour rights.<\/p>\n
Trade agreements form part of the EU’s open trade – or “partnering” – approach, which is one of the three goals of the European Economic Security Strategy presented in June. This agreement also strengthens the EU’s engagement in the strategically and economically important Indo-Pacific region.<\/p>\n
The European Commission President Ursula von der Leyen said, “New Zealand is a key partner for us in the Indo-Pacific region, and this ambitious free trade agreement will bring us even closer together.” <\/p>\n
The EU-New Zealand FTA will provide new opportunities for businesses by eliminating all tariffs on EU exports to New Zealand; opening the New Zealand services market in key sectors such as financial services, telecommunications, maritime transport and delivery services; and ensuring non-discriminatory treatment to EU investors in New Zealand and vice versa.<\/p>\n
The deal will improve access for EU companies to New Zealand government procurement contracts for goods, services, works and works concessions; and help small businesses export more through a dedicated chapter on small and medium enterprises; <\/p>\n