By Martin Banks

A new trade deal between the EU and Australia has been hailed as an “important” step towards strengthening economic ties between the two sides.

MEPs say the trade agreement with a like-minded partner “reinforces” Europe’s global trade network.

The deal was welcomed by The European Conservatives and Reformists (ECR) Group, one of the main groups in the EU parliament.

Comment came from ECR Coordinator in the Committee on International Trade Daniele Polato.

The MEP highlighted that the agreement comes at a time when the European Union “must diversify” its partnerships and strengthen resilience in an increasingly uncertain global environment.

Polato told this site, “Strengthening trade with reliable and like-minded partners such as Australia is in Europe’s interest. At the same time, we have to make sure that the deal delivers concrete benefits and remains balanced across all sectors.”

The ECR Group said it wanted to underline that the agreement has the potential to create new opportunities for European companies, support growth and deepen cooperation in key strategic areas, in particular in the supply of critical raw materials, energy and innovation.

At the same time, the Group stresses that the final agreement must ensure fair conditions of competition, including for sensitive sectors such as agriculture, and uphold comparable production standards.

Polato adds, “Open trade must go hand in hand with fairness. European producers cannot be put at a disadvantage. This means maintaining equivalent standards and a level playing field is essential.”

The ECR Group also sees the agreement as part of a broader effort to strengthen cooperation with trusted partners in the Indo-Pacific and to reinforce Europe’s position in a rapidly evolving global environment.

Polato concluded, saying: “Australia is a key partner in a strategic region. This agreement should strengthen our cooperation, particularly in areas such as critical raw materials, while ensuring that Europe’s economic interests are fully safeguarded.”

Meanwhile, EC President Ursula von der Leyen, speaking this week at the European Australian Business Council, said some European firms have been in Australia since before Australia became a federation in 1901.

Today, more than 3,000 European companies operate in every sector of the Australian economy, she said.

She said, “Already today, Europe is Australia’s third-largest trading partner and second-largest foreign investor. But beyond the quantity of our exchanges, it is the quality that matters. Our standards are aligned like no others.

“Australia’s role as a beacon of peace and stability is even more important to us.

“Australia has often been an inspiration for Europe in recent years. And one thing that does inspire me is the concept of mateship. When things get hard, you bond together. And this is the same spirit that brings me to Australia.”