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EU Free Trade Agreements: Impact on Trade and Growth

  • 15. 10. 2026
Ilustrační obrázek

The Swedish Enterprise Presents a New Report on “EU Free Trade Agreements: Impact on Trade and Growth”.

New free trade agreements (FTAs) between the EU and key partners, including India, the Mercosur countries, Southeast Asia, Australia and the United Arab Emirates, have the potential do deliver significant economic benefits for the European Union. According to the report, once fully implemented, these agreements could increase EU GDP of up to €108 billion annually and boost EU exports to partner countries by approximately €136–173 billion. 

The report highlights several opportunities for European businesses:

  • industrial and manufacturing exports to India and Southeast Asia;
  • automotive and engineering exports;
  • improved access to critical raw materials for the automotive, battery, and high-tech sectors;
  • participation in new value chains created through deeper integration with fast-growing markets.

One of the report's key conclusions is that trade diversification should be regarded as a strategic benefit of the EU's free trade agenda as it can contribute to the EU´s long-term competitiveness and economic security.

This fact is particularly important for the Czech Republic. As one of the most export-oriented countries in the EU, it is exposed to risks stemming from its heavy reliance on a small number of markets, including vulnerability to economic downturns, geopolitical tensions, or protectionist measures. By expanding into new markets, Czech companies can thus mitigate these risks and beyond that, access new sources of growth and improve their resilience in an increasingly uncertain global environment.