Portugal Trade Agreements: Understanding the Country`s Key Partnerships
Portugal is one of the oldest states in Europe with a rich maritime history that has played a significant role in global trade. The country has also been a member of the European Union since 1986 and has established various trade agreements with other countries, which has helped to open up new markets for Portuguese products and services.
As a professional, it is important to understand the significance of these trade agreements and the impact they have on Portugal`s economy. In this article, we will explore Portugal`s major trade agreements, what they entail, and their importance to the country`s economic growth.
European Union (EU)
Portugal`s longstanding membership in the European Union (EU) has been a driving force behind the country`s economic development. Being part of the EU`s single market has enabled Portugal to trade freely with other member states, which has opened up a vast market for Portuguese products and services. The EU is also Portugal`s largest trading partner, and many of the country`s top export markets are in other EU countries.
Mercosur is a South American trade bloc that encompasses Brazil, Argentina, Paraguay, and Uruguay. Portugal signed a trade agreement with Mercosur in June 2019, which aims to increase trade and investment between member states and European countries. The agreement also looks to remove trade barriers, protect intellectual property rights, and promote sustainable development.
China is one of Portugal`s key trading partners outside the EU. The two countries signed a Memorandum of Understanding in 2015, establishing a strategic partnership that aims to increase bilateral trade and investment. The agreement has already yielded results, with trade between the two countries increasing by 27% in the first quarter of 2021 compared to the same period the previous year.
The United States is another important trading partner for Portugal. The countries signed a bilateral trade agreement in 1985, which has helped to promote trade and investment between the two countries. Portugal`s exports to the US increased by 40% between 2016 and 2020, highlighting the importance of this partnership.
Portugal`s trade agreements with various countries and regions have been instrumental in promoting economic growth and creating new opportunities for Portuguese businesses. From the EU to China, these agreements have opened up new markets for Portuguese goods and services, increased investment, and removed trade barriers. As a professional, it is important to understand the significance of these partnerships when writing about Portugal`s economy and international trade.