Sweden Calls for Resumption of EU-PH Free Trade Agreement Negotiations

Sweden’s Foreign Trade Minister Johan Forssell emphasized the importance of restarting bilateral free trade agreement (FTA) negotiations between the Philippines and the European Union (EU) to promote a more seamless exchange of goods.

Forssell highlighted the benefits the Philippines currently enjoys under the EU Generalised Scheme of Preferences Plus (GSP+), which grants zero tariffs to over 6,000 goods entering the EU market.

During his visit to the Philippines, Forssell expressed Sweden’s longstanding commitment to free, open, and rules-based trade and stressed the need to resume FTA negotiations when the timing is right.

He stated that an EU-Philippines FTA should be the ultimate objective for both parties in bolstering trade ties.

It has been a decade since the exploratory talks on a bilateral FTA between the Philippines and the EU began. The discussions, which started in 2013, covered the FTA’s objectives, key principles, and scope.

The scoping negotiations concluded in October 2015, followed by the announcement of FTA negotiations in December 2015.

The first round of negotiations took place in Brussels in May 2016, and the second round was held in Cebu, Philippines, in February 2017. However, talks have been on hold for the past six years.

Forssell also acknowledged the appealing investment prospects in the Philippines, citing its economic growth, demographics, infrastructure programs, and the Marcos administration’s transition to clean energy.

He expressed his intention to lead a Swedish business delegation to Manila and encouraged Filipino companies to explore investment and trade opportunities in Sweden.

Currently, 40 Swedish firms are operating in the Philippines which includes companies such as Atlas Copco, Volvo, Scania, and more popular Swedish brands like H&M, and most recently, IKEA.

The diplomatic relationship between the Philippines and Sweden dates back to 1947. (GFB)