METRO MANILA, Philippines – The European Union and the Philippines have reached a substantial agreement in negotiations for a Free Trade Agreement (FTA), marking a significant milestone in efforts to deepen bilateral trade and investment relations.
The announcement was made on September 22, 2026, following a video call between Maroš Šefčovič, European Commissioner for Trade and Economic Security, and Maria Cristina Aldeguer-Roque, Philippine Secretary of Trade and Industry. The development places the agreement on a clear path toward its formal conclusion in the coming months. For the European and Philippine business communities, it represents an important step toward strengthening economic ties between the European Union and one of Southeast Asia’s fastest-growing markets.
Beyond strengthening trade and investment flows by improving conditions for exporters, service suppliers, and investors on both sides, the agreement is expected to contribute to more stable and predictable trade rules, trusted economic partnerships, and more resilient supply chains.
According to the European Commission, the prospective FTA would liberalise more than 94% of tariff lines, covering over 97% of bilateral trade. It would also introduce clearer rules on government procurement, improve protection of intellectual property rights, facilitate digital trade while safeguarding data privacy and consumer protection, increase transparency in sanitary and phytosanitary measures and technical barriers to trade, reinforce sustainability commitments, and establish provisions on energy and raw materials aimed at facilitating sustainable investment.
This latest development marks an important milestone in EU-Philippines economic relations and reflects the long-standing efforts of both parties to establish a comprehensive trade partnership. Negotiations for the FTA were initially launched in 2015 before being put on hold. They resumed in March 2024, with both sides aiming to conclude a modern, ambitious, and balanced agreement with sustainability at its core.
The substantial agreement announced in September 2026 represents significant progress, although the FTA has not yet been formally concluded. The European Union and the Philippines will continue working on the remaining technical details and implementation arrangements before the agreement proceeds through the necessary formal processes.
Once concluded and implemented, the FTA could provide a stronger framework for deeper and more sustainable economic cooperation between the European Union and the Philippines, while offering new opportunities for businesses, investors, and consumers on both sides.
According to Commissioner Šefčovič, the agreement is intended to open new opportunities for exporters and investors, strengthen supply chains, and deepen bilateral economic ties at a time when diversification and resilience have become increasingly important.
As an organization dedicated to fostering French-Philippine business relations and supporting its members in navigating opportunities across both markets, the French Chamber of Commerce and Industry in the Philippines (CCIFP) recognizes this development as an important step toward a more open, predictable, and resilient business environment.
The Chamber welcomes the substantial progress made toward the FTA and looks forward to its continued development and eventual conclusion. CCIFP also remains committed to supporting stronger partnerships among French, European, and Philippine businesses in advancing long-term trade, investment, and sustainable economic cooperation.
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Sources:
https://ec.europa.eu/commission/presscorner/detail/en/ip_26_1929, https://ec.europa.eu/commission/presscorner/detail/en/statement_26_1922, https://ec.europa.eu/commission/presscorner/api/files/document/print/en/ip_26_1929/IP_26_1929_EN.pdf
Photo Source: Delegation of the European Union to the Philippines