UAE and Singapore launch CEPA negotiations as trade reaches $6.5bn

The United Arab Emirates and Singapore have launched negotiations for a Comprehensive Economic Partnership Agreement. Bilateral non-oil trade between the two countries reached $6.5bn in 2025, representing a 25 percent increase in trade flows between the UAE and Singapore.

UAE Singapore CEPA negotiations framework#

The two countries have commenced formal talks on the Comprehensive Economic Partnership Agreement. The negotiations follow established patterns of bilateral trade agreements in the region, where such frameworks typically address tariff schedules, rules of origin, customs procedures and market access provisions across goods and services sectors. The agreement will cover multiple sectors and establish protocols for trade facilitation between the two jurisdictions.

Trade flows and composition#

Bilateral non-oil trade between the UAE and Singapore stood at $6.5bn in 2025, marking a 25 percent rise from the previous period. The figure excludes petroleum and petroleum products, reflecting trade in manufactured goods, services and other non-hydrocarbon categories. Singapore maintains trade relationships across multiple UAE emirates, with flows passing through Dubai, Abu Dhabi and other commercial centres. The $6.5bn baseline will serve as the reference point for measuring trade effects once the CEPA enters force.

Investment developments#

Temasek, Singapore's state investment company, has announced plans to establish an office in Abu Dhabi. The move follows existing investment positions held by Singaporean entities in UAE markets. Temasek's Abu Dhabi presence will operate alongside its existing regional offices, providing a base for investment activities in the UAE and surrounding markets. The office will handle investment operations across sectors where Temasek maintains positions or seeks new allocations.

Implementation timeline and scope#

The CEPA negotiations are now underway, though no completion date has been published. Trade agreements of this scope typically require multiple negotiating rounds covering goods schedules, services commitments, investment provisions and dispute resolution mechanisms. The talks will address tariff elimination schedules, non-tariff barriers, customs cooperation, regulatory alignment and investment protection provisions. Each negotiating round will produce draft text on specific chapters of the agreement, with final schedules and annexes to be agreed before signature.