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Lebanon
Lebanon's economy is characterized by high imports and substantial trade deficits, which are largely offset by foreign income earnings, including capital inflows, remittances from the Lebanese diasphora and the tourism, banking and insurance sectors. Lebanon's total trade with the world is gradually increasing and was worth almost €12 billion in 2007.
Lebanon's trade relations with the EU are currently governed by the EU-Lebanon Association Agreement, the trade-related provisions of which entered into force in April 2006. This agreement establishes the necessary conditions for progressive liberalisation of trade in goods between the EU and Lebanon, with a view to creating a bilateral Free Trade Area. As a result, Lebanese industrial and most agricultural products benefit from free access to the EU market. Progressive elimination of tariffs on EU imports into Lebanon will take place between 2008 and 2014.
The EU is Lebanon's main trading partner accounting for more than a third of its imports
Trade in goods
- EU goods exports to Lebanon 2008: €3.9billion
- EU goods imports from Lebanon 2008: €0.36 billion
- In 2008 the main EU exports to Lebanon consisted of machinery (22%) and transport equipment (11,7%), chemicals (13%) and energy products (21,2%). EU imports from Lebanon consisted mainly from manufactured products (66%, including machinery (13%) and chemicals (15%)) as well as agricultural products (15%).
Trade in services
- The Lebanese economy is based primarily on the service sector, which accounts for approximately 60% of its GDP. Main Lebanese services exports to the EU are commerce, tourism and financial services.
The European neighbourhood policy and financial assistance
EU-Lebanon co-operation is an important part of the European Neighbourhood Policy. The EU-Lebanon ENP Action Plan entered into force in January 2007. The Neighbourhood policy supports political and economic cooperation between Lebanon and the EU and is the framework for financial assistance from the EU to Lebanon. The European Neighbourhood Policy Instrument - ENPI - will be endowed with €11.9 billion for 2007-2013. An EU-Lebanon Strategy Paper 2007-2013 and a National Indicative Programme (NIP) 2007-2010 for financing under the ENPI have been adopted by the EU. According to NIP €187 million have been allocated for the period 2007-2010 to the Lebanese government. These funds will be used also for projects that include measures to facilitate trade.
WTO
Lebanon is in the process of accession to the WTO. Negotiations started in 1999.
Bilateral relations
Trade relations with key trading partners
Facts, figures, latest developments and archives.
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