The EU-Australia trade agreement will be signed – This is what it would mean for Finland

President of the European Commission Ursula von der Leyen travel to Australia from 23 to 25 March, where the trade agreement negotiated with Australia for years is supposed to be sealed.

Von der Leye will be met by the Prime Minister Anthony Albanesen in Canberra and will also visit Sydney.

Von der Leyen said in an earlier letter to EU leaders that the negotiations with Australia were already “nearing the end”.

“This marks yet another milestone in the diversification of Europe’s international partnerships,” he said, adding that the agreement would strengthen “Europe’s ability to shape global standards and ensure sustainable supply chains.”

According to the president of the commission, the visit will strengthen the EU’s relations with a reliable, like-minded partner in the strategically important Indo-Pacific region.

Same concerns

Both Australia and the EU want to diversify their trade relations due to growing geopolitical uncertainty, US protectionism and China’s tightening trade policy.

The agreement is seen as an opportunity to strengthen financial sustainability, strategic autonomy and security of supply chains.

Australia is an important trade partner for the EU. The agreement would make it easier for European companies to enter the market, remove customs barriers and create new export opportunities.

Australia is also a key supplier of many critical minerals needed by the EU, which support the EU’s green transition and security of supply.

The agreement would also open up new export opportunities for Finland. For example, technology, the engineering industry, wood products and cleantech would benefit from the removal of tariffs and trade barriers.

The agreement can also increase research and development cooperation in, for example, the energy, forestry and mining sectors.

Finland investing in the battery industry and the green transition would also benefit from more stable and versatile supply chains with Australia.