EU-Australia trade deal: What does business between the two look like?

Published on 30/03/2026 - 14:01 GMT+2

After 8 years of negotiations, 15 rounds of talks and 1 suspended dialog successful 2023, Australian Prime Minister Anthony Albanese and European Commission President Ursula von der Leyen signed a long-awaited escaped commercialized statement successful Canberra astatine the opening of past week.

The woody marks different triumph for Brussels arsenic it races to diversify commercialized ties and fastener successful strategical partners amid rising planetary tensions.

"Australia and Europe are friends and partners, moving unneurotic to beforehand peace, information and economical prosperity," the Australian premier curate said successful a statement aft inking the deal.

Both sides volition beryllium looking to physique connected the billions of euros worthy of goods that already flowed betwixt Australia and the EU adjacent earlier the statement came into force.

In 2025, the EU exported €36.9 cardinal successful goods to Australia, portion imports stood astatine €10.2 billion.

This near the bloc with a commercialized surplus of €26.7 billion, according to the latest Eurostat data.

Both exports and imports dipped somewhat compared to 2024, down 4.9% and 4.8% respectively.

However, implicit the longer term, commercialized has grown significantly. Since 2015, exports person risen by astir 40%, and imports by astir 50%.

The EU's apical exports to Australia were medicinal and pharmaceutical products, making up 13.1%, followed by roadworthy vehicles astatine 11.1%, and concern machinery astatine 9.5%.

On the import side, coal, coke and briquettes dominated, accounting for 29% of each imports. These were followed by oilseeds and oleaginous fruits astatine 15.3%, and golden astatine 7.2%.

What volition the commercialized look similar moving forward?

The commercialized betwixt the EU and Australia is expected to turn by up to 33% implicit the adjacent decade, with export worth expected to scope up to €17.7 cardinal annually, according to the European Commission.

"The EU is opening the marketplace to 1 of the world's fastest-growing developed economies and thereby bringing important economical opportunities to European companies, consumers and farmers," a property merchandise from the European Commission noted.

Some cardinal sectors for the EU see dairy (expected to summation by up to 48%), centrifugal vehicles (52%), and chemicals (20%).

In addition, nether the deal, much than 99% of tariffs connected EU exports to Australia volition beryllium eliminated — redeeming businesses astir €1 cardinal a year.

The EU besides reinforces its strategical interests successful the country of captious earthy materials arsenic Australia is simply a large shaper of earthy materials, including aluminium, lithium and manganese, which are captious for the EU's wide economical information and competitiveness.