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The EU-Algeria Association Agreement was signed in April 2002 and entered into force in September 2005.

This agreement sets out a framework for the EU-Algeria relationship in all areas including trade.

In 2012 Algeria and the EU launched consultations on an Action Plan that will set out anticipated actions and priorities over a five-year timeframe. It will serve to support co-operation and further exploit the potential of the Association Agreement.

Algeria is in the process of accession to the WTO , with strong support from the European Union.

Exporter stories

See how the EU-Algeria trade agreement benefits companies and communities across the EU

Read the exporters' stories

Trade picture

  • The European Union is Algeria's largest trading partner and absorbs half of Algerian international trade (54.1%). Total trade between the EU and Algeria amounted to €52.76 billion in 2014.
  • EU-Algeria trade has decreased by 3,7% year between 2013 and 2014, principally due to shrinking oil prices.
  • With 96.7 % of EU imports from Algeria in 2014 being fuel and mining products, Algeria ranked as EU's third largest energy provider in 2014, at a value of € 28.41 billion. Chemicals represented the second most important product group in EU's imports from the country.
  • EU exports to Algeria are dominated by machinery and transport equipment (37.4%) agricultural products (15.42%), chemicals (10.59%) and iron and steel (9.9%).

EU-Algeria: Trade in goods

Trade in goods 2014-2016, € billions
Year EU imports EU exports Balance
2014 29.5 23.4 -6.1
2015 20.9 22.2 1.3
2016 16.5 20.9 4.4

EU-Algeria: Trade in services

Trade in services 2013-2015, € billions
Year EU imports EU exports Balance
2013 1.5 2.9 1.4
2014 1.8 3.4 1.6
2015 1.6 3.2 1.6

EU-Algeria: Foreign direct investment

Foreign direct investment 2015, € billions
Year Inward stocks Outward stocks Balance
2015 2.1 16.5 14.3

Date of retrieval: 15/02/2017

More statistics on Algeria

EU and Algeria

Algeria already has a Free Trade Agreement with the EU and will accordingly cease to benefit from preferential access to the EU market under the Generalised System of Preferences (GSP) scheme from January 2014. (more details on the EU's new GSP scheme)

Algeria in Euromed

Algeria is an important EU trading partner in the Mediterranean region and a member of the Euro-Mediterranean Partnership (Euromed). The Euro-Mediterranean Partnership promotes economic integration and democratic reform across 16 neighbours to the EU's south in North Africa and the Middle East. One important part of this work is to achieve mutually satisfactory trading terms for the Euromed region's partners.

The Euro-Mediterranean Partnership is an essential component in the pursuit of greater economic integration in the Mediterranean region. Within the European Neighbourhood Policy , the EU offers its neighbours a privileged relationship, building upon a mutual commitment to common values (democracy and human rights, rule of law, good governance, market economy principles and sustainable development). The European Neighbourhood and Partnership Instrument is designed to target sustainable development and approximation to EU policies and standards, supporting the agreed priorities in the European Neighbourhood Policy and the EU co-operation programme for Algeria 2007-2013

Algeria endorsed the EU's new Pan-Euro-Mediterranean system of 'cumulation of origin' in September 2007 and signed the regional Convention on preferential rules of origin for the Pan-Euro-Mediterranean area on the 5th October 2012. When ratified and applied, this will replace the current network of bilateral protocols, facilitate the revision of existing rules of origin, and thus enhance regional trade and economic integration. The system – which makes it simpler to import products manufactured in more than one country throughout the Mediterranean basin – will generate new opportunities for economic operators and be an important spur for further regional economic integration.

More information on the Euro-Mediterranean partnership

Trading with Algeria