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Brussels Approves Five-Year Exemption to Boost Tunisia’s Textile Sector

In a move to enhance Tunisia’s textile industry, Brussels has approved a five-year exemption that will allow basic local processing to qualify as an origin criterion, enabling Tunisian manufacturers to benefit from tariff advantages in the European market.

The European Commission adopted Regulation (EU) 2025/1459 in late July 2025, which introduces derogations to the rules of origin outlined in the EU–Tunisia Association Agreement. This new regulation, retroactive to January 22, 2025, is set to remain in effect for five years and permits certain textile products made in Tunisia to be considered “originating,” even if their raw materials are imported.

The flexibility aims to boost the competitiveness of Tunisia’s textile sector, a vital component of the national economy, by providing easier access to the EU market with duty-free preferential treatment.

Under the new regulation, annual quotas have been established for various product categories, including over 3.2 million pairs of men’s denim trousers per year during the first three years, and 2.9 million pairs in the final two years. Additionally, about 1.5 million pairs of women’s trousers are also included in the quota. These allocations will be managed on a “first come, first served” basis, with automatic adjustments in case of quota overuse or underutilization.

The decision has been welcomed by the Tunisian Textile and Clothing Federation, which believes it will ease the sourcing of raw materials and help strengthen the local value chain. The European Union views the exemption as a lever for growth, aiming to stimulate job creation and support Tunisia’s broader economic diversification.

While the relaxed requirements provide a significant advantage, manufacturers will still face intense global competition and will need to invest in quality, innovation, and compliance with environmental and social standards to fully capitalize on the scheme’s benefits.

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