Australia-UAE Free Trade Deal Takes Effect as PM Announces Trump Meeting
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Prime Minister Anthony Albanese announced a comprehensive free trade agreement with the United Arab Emirates will take effect Wednesday, eliminating tariffs on 99% of Australian exports as he promoted Australian products at a UAE supermarket and revealed plans to meet with President Donald Trump on Oct. 20.
Speaking at a Lulu supermarket showcasing Australian lamb, beef, vegetables and consumer goods, Albanese said he timed his official UAE visit to coincide with the trade agreement coming into force.
“Just Wednesday morning, October 1st, the free trade agreement kicks in. What that does is open up all of the markets of the Middle East through the United Arab Emirates that are an important trading partner for Australia,” Albanese said.
The prime minister credited Trade Minister Don Farrell for negotiating the comprehensive agreement, which he said would create jobs particularly in regional Australia and open opportunities for increased investment from UAE sovereign wealth funds.
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Trade Diversification Strategy
Albanese positioned the UAE agreement as part of a broader trade diversification agenda, citing the UK free trade deal operational since 2023 and ongoing European Free Trade Agreement negotiations he discussed with European Commission President Ursula von der Leyen in New York last week.
“This is why we need to be engaged in the world,” Albanese said. “This is important to deliver for Australian businesses, for Australian consumers and for our economy.”
The prime minister toured the supermarket’s Australian products section, which featured Bega cheese, Arnott’s biscuits and other Australian brands. He emphasized the direct connection between export promotion and domestic employment.
“What that means is Australian jobs being created particularly around our regions,” Albanese said, noting producers could establish direct relationships with the UAE supermarket chain’s 300 locations.
Sovereign Wealth Fund Investment
Beyond tariff elimination, Albanese highlighted potential investment from UAE sovereign wealth funds as a key benefit of the agreement.
“It also opens up the potential for increased investment from the sovereign wealth funds that are so large here in the UAE. Both of those activities means jobs in Australia, means lifting our living standards, means particularly jobs in regional Australia as well,” he said.
The prime minister said the agreement demonstrated the economic benefits of international engagement, with the UK agreement already showing considerable export increases since 2023.
Supermarket Competition Push
During his supermarket tour, Albanese encouraged the UAE chain’s chairman to consider Australian expansion, linking the discussion to domestic competition concerns.
“We need more competition in the Australian supermarket sector. And we’ve had a little discussion about that as I’ve been walking around,” Albanese said.
He noted the company’s scale allowed direct relationships with producers, citing halal-certified meat from Mudgee still supplying the UAE market. “I think Australia has the best produce in the world and I want to see it on the tables of the world’s populations,” he said.
Middle East Peace Discussions
Albanese said his afternoon meeting with the UAE president would include discussions about Middle East peace efforts, confirming he would exchange notes on regional dynamics.
“This is an issue for the Middle East and just as I had discussions with the President of Jordan, the King of Jordan when I was there, the head of state in New York, certainly the Arab League and the role that they’re playing in pursuing peace is very important,” he said.
When asked if conversations throughout his trip increased confidence in achieving a ceasefire, Albanese expressed cautious optimism.
“I’m certainly hopeful. And President Trump’s comments, optimistic he’s someone who has been an advocate for peace and will await that,” he said. “But the world wants to see a ceasefire, wants to see the hostages released, wants to see aid into Gaza. But they also want to talk about the day after.”
Two-State Solution Advocacy
Albanese emphasized the importance of addressing long-term solutions alongside immediate ceasefire efforts, reiterating Australia’s position on a two-state solution.
“In that, that’s why the world also wants to see progress towards a two-state solution,” he said, noting the connection between short-term and long-term peace prospects.
The prime minister acknowledged Australia’s limited role compared to nations with deeper Middle East involvement but defended the country’s contributions.
“We’re not big players in the Middle East compared with other nations that of course have history. The United Kingdom, we speak about the British Mandate, Palestine, there’s all of that history there. The United States obviously has a very critical role to play as well,” Albanese said.
He cited Australia’s recognition of Palestine alongside other countries as part of peace efforts. “There is a link between the long-term solution that is required, the two-state solution that Australia has had a long-standing position on and indeed that the United Nations envisaged way back in 1947,” he said.
Ceasefire Strategy
Albanese explained that credible pathways to lasting peace were necessary for achieving immediate ceasefires, addressing concerns about cycles of violence.
“If people think there will just be a rearmament or a resumption of hostilities, then that makes it difficult to have a ceasefire in the short term,” he said. “There is a link between the long-term solution that is required, the two-state solution.”
He referenced UN resolutions from 1947 and 1948 establishing the framework for the two-state approach when Israel was recognized.
Trump Meeting Confirmation
Albanese confirmed he would meet with President Trump on Oct. 20, following discussions with UK Foreign Secretary David Lammy.
“The discussion I had with David Lammy yesterday was particularly instructive as well prior to the meeting that I will have with President Trump on October 20,” he said.
The announcement came as Albanese defended his broader international engagement strategy amid domestic criticism of his travel schedule.
UK Visit Defense
The prime minister defended his UK visit and speech at the Labour Party conference, emphasizing the breadth of his engagement across British politics.
“I was really able to take up the invitation of Prime Minister Starmer and I met with all of the senior ministers in his government including the Deputy Prime Minister, the Defence Minister, the Foreign Minister, the Health Minister were able to pursue discussions about AUKUS as well,” Albanese said.
He noted meetings with opposition leader Kemi Badenoch and key shadow ministers, including the shadow education minister. “It is in Australia’s interest to be engaged with the world. I have been engaged with the world,” he said.
AUKUS Discussions
Albanese said his meetings with senior UK ministers included substantive discussions about the AUKUS security partnership between Australia, the United Kingdom and the United States.
The prime minister described his conversation with Lammy as particularly instructive ahead of the Trump meeting, suggesting coordination on security matters across allied nations.
Export Promotion Focus
Throughout his remarks, Albanese emphasized the direct economic benefits of international engagement for Australian producers and regional communities.
The supermarket display featured Australian lamb, beef, vegetables, Bega cheese, Arnott’s biscuits and products from Lego’s as well, demonstrating the range of Australian exports entering UAE markets.
Albanese said the agreement’s tariff elimination would strengthen relationships between Australian producers and international retailers, particularly benefiting regional agricultural communities.
“What that means is a promotion of our exports,” he said, noting organizations including Austrade, the Department of Foreign Affairs and Trade, and Meat and Livestock Australia supported the promotional event.
Regional Employment Impact
The prime minister repeatedly emphasized regional job creation as a primary benefit of expanded export opportunities, linking trade policy to domestic employment outcomes.
“Both of those activities means jobs in Australia, means lifting our living standards, means particularly jobs in regional Australia as well,” Albanese said, referring to both increased exports and sovereign wealth fund investment potential.
He noted existing relationships between Australian regional producers and UAE markets, citing Mudgee’s halal-certified meat operations as an example of ongoing trade relationships the agreement would strengthen.
Broader Trade Context
Albanese positioned the UAE agreement within a comprehensive trade strategy spanning multiple regions and agreements at various stages of negotiation.
The UK free trade agreement operational since 2023 has produced considerable export increases, according to Albanese, while European Union negotiations continue through discussions with von der Leyen.
“We have worked very hard on making sure that we diversify our trade networks,” he said, citing the UAE agreement as evidence of the government’s commitment to expanding Australian market access globally.
The prime minister’s Abu Dhabi visit concluded a travel schedule that included New York for United Nations meetings and London for meetings with UK government and opposition leaders, all of which Albanese defended as advancing Australian interests through international engagement.
The UAE free trade agreement represents the latest achievement in the government’s trade diversification agenda as Australia seeks to expand export markets beyond traditional partners and secure investment for domestic industries.
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