Today, Europe and Malaysia are taking an important step forward together. On the occasion of the visit of Prime Minister Anwar bin Ibrahim to Europe, I'm pleased to announce the re-launch of negotiations for an EU-Malaysia Free Trade Agreement.
This excellent news comes at a critical time. Geopolitical tensions are escalating, and the risk of instability is growing. While some turn inwards towards isolation and fragmentation, Europe and Malaysia are choosing a different path: reaching out, building partnerships, and creating new opportunities for our people.
Europe and Malaysia share a commitment to a rules-based international order, economic openness, sustainable development, and regional stability. Europe remains dedicated to advancing a free and open Indo-Pacific, where both sides share significant interests and responsibilities.
As our third-largest trading partner in ASEAN and the current chair, Malaysia plays a central role in shaping the bloc's direction. Today's announcement reaffirms Europe's commitment to strengthening ties with both Malaysia and ASEAN as a whole.
A free trade agreement between Europe and Malaysia would take our trade relationship to the next level. With trade between us already worth €45 billion annually, we will unlock even greater benefits for businesses and consumers, especially for industrial products. Free and fair trade means better choices and prices. It also means less risk, as integrating and diversifying supply chains strengthens our economic security.
Like all Europe's free trade agreements, this is about more than economic exchanges. We will aim to build our partnership on robust commitments on labour rights and climate and environmental protection. Once concluded, this agreement will provide a platform of dialogue on issues the EU cares deeply about, including respect for human rights. We are showing that sustainability and free trade can and must go hand in hand.
Now that we have restarted these negotiations, I have full confidence in our teams to deliver an agreement we can all be proud of. Let's get to work.
