THE PHILIPPINES and the European Union (EU) are targeting to complete talks for a Free Trade Agreement (FTA) by 2027 before the Generalized Scheme of Preferences plus (GSP+) expires.
GSP+ is a special trade agreement giving thousands of Philippine products duty-free access to the European Union market. The Philippines enjoys the enhanced trade preferences with the EU since 2014.
Before GSP+ expires at the end of 2027, both Philippine and EU officials are optimistic the PH-EU FTA will be approved. EU Ambassador to the Philippines Massimo Santoro said the fourth round of FTA negotiations will take place in Cebu next week.
“I am very confident that it will be a successful round of discussion following already three successful rounds of discussions,” Santoro said at the European-Philippine Business Dialogue in Makati.
FTA negotiations started in 2015, but it was put on hold in 2017. Then talks resumed in 2024.
Board of Investments Executive Director Evariste Cagatan also believed that an agreement will be finalized by 2027. She added that this will boost trade ties between the two areas.
“The FTA aims to be completed ahead of the expiration of the EU Generalized Scheme of Preferences Plus which currently provides duty free access to more than 6,000 Philippine products to the EU markets,” Cagatan said.
She added that the Philippines-EU trade relations reached US$15.54 billion in 2024 and already hit $11.39 billion in the first 8 months of 2025.
European Chamber of Commerce of the Philippines president Paulo Duarte is also confident the FTA talks will be a success. He added that the country remains an investment destination for many European firms.
“The Philippines continues to attract the interest of European companies looking to expand in the region. To capitalize on this economic strengths, the Philippines committed to implement major policy reforms,” Duarte said. (ABS-CBN News)
