European Commission President Ursula von der Leyen has landed in Sydney, kicking off a brief official visit to Australia to clinch an elusive free-trade deal worth tens of billions of dollars.
Ms von der Leyen arrived on Monday after a mammoth flight made longer by Middle East airspace closures, joining EU trade chief Maros Sefcovic who arrived at the weekend.
They met with Governor-General Sam Mostyn at Admiralty House in the afternoon for their first media engagement following a final round of talks between Mr Sefcovic and Trade Minister Don Farrell.
NewsWire understands both sides were happy with those final talks, with a European source saying there was “really not much left to do”.
“We came as far as we can and (now) we need leaders to just sign-off,” they said, speaking on condition of anonymity.
Anthony Albanese is scheduled to meet with Ms von der Leyen at Parliament House on Tuesday.
NewsWire understands they intend to green-light the deal, which will likely include a market access quota for Australian red meat at 30,000 tonnes – down from 40,000 tonnes in Europe’s 2023 offer.
That concession came after EU negotiators loosened their own demands, including for Australia to axe the luxury car tax.
The EU is also expected to scrap a tariff on Australian critical minerals as the bloc weans off Chinese metals and abandon demands for Australian producers to stop using geographical indicators – product names with regional and cultural significance, such as feta and prosecco.
On the periphery, questions remain around broader agreements on increased mobility for highly skilled white collar workers and security co-operation.
Speaking in parliament, the Prime Minister described the visit as a “milestone moment for the relationship between Australia and the European Union”.
“Our two-way trade is worth some $109bn. That represents jobs and economic prosperity, and our government has been working patiently and constructively to take that to the next level,” he said.
“To give Australian farmers and growers and exporters better access to a market of 450 million custom consumers.
“And to give our friends in Europe the chance to enjoy Australian food and wine – the best products in the world that we are so proud of.”
The free-trade agreement has been in the works since 2018 and came close in 2023 before Senator Farrell walked out over market access for Australian beef and geographical indicators.
However, US tariffs have since spurred Canberra and Brussels to try again, with both sides saying for months that they were closer than ever before.
Ahead of announcing her trip last week, Ms von der Leyen declared the deal was “in the final stretch”.
Made up of 450 million high-income consumers with a GDP of some $31 trillion, the 27-member bloc is the second-largest economy in the world.
Senator Farrell has said the deal would pump an extra $10bn into Australia’s economy each year.
