The European Union and the Philippines have reached substantial agreement in negotiations for a Free Trade Agreement (FTA).
The agreement aims to deepen economic ties between the EU and a fast-growing Southeast Asian partner.
Maroš Šefčovič, Commissioner for Trade and Economic Security, and Maria Cristina Aldeguer-Roque, Philippine Secretary of Trade and Industry, announced the substantial conclusion following a video call, putting the deal on track for final conclusion in the coming months.
Bilateral trade between the EU and the Philippines totalled €17.6 billion ($20 billion) in goods in 2025 and €10.3 billion ($11.7 billion) in services in 2024, with the EU currently the Philippines’ fourth-largest trading partner, accounting for 8.3 per cent of its total goods trade.
The agreement is expected to liberalise over 94 per cent of tariff lines, covering more than 97 per cent of bilateral trade, with EU industrial exports to the Philippines led by machinery, transport equipment, medicines and medical appliances, alongside key agrifood exports including pork, poultry, dairy and spirits.
The deal also includes clear rules on government procurement, opening the Philippine government procurement market to foreign bidders for the first time, alongside stronger intellectual property protections, digital trade rules with data privacy safeguards, and sustainability commitments tied to human rights and the Paris Agreement.
Šefčovič said: “I am proud to say we have delivered a substantial agreement that reflect the ambition both sides brought to the table. Our FTA does not just remove barriers to trade and investment, it builds a modern, forward-looking partnership between the EU and the Philippines, one that will open new opportunities for our exporters and investors, strengthen our supply chains and deepen bilateral economic ties for years to come. All at a time when diversification and resilience matter more than ever.”
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Christophe Hansen, Commissioner for Agriculture and Food, stated: “This major advancement with the Philippines is another mutually beneficial partnership that will strengthen our resilience and trade diversification. It is good news for European farmers. We have reached an agreement on tariff preferences on key EU export interests such as pigmeat, and secured protection for almost 200 of our Geographical Indicators.”
