Scandinavian Trade Agreement

The UK has signed a post-Brexit trade deal with Norway, Iceland and Liechtenstein, the government announced. Sweden is part of the European Union. Here you will find the relevant trade agreements in the EU. But politically, it is really important for the British government to show after Brexit that new trade deals will be reached quickly. Even if, as the Norwegian side points out, it is less open than previous relations within the same internal market. The agreement covers trade in goods and ensures that 95% of trade in goods with Norway and more than 90% with Iceland remain duty-free, giving businesses confidence that they will be able to continue to operate on the same terms as today after the end of the transition period. Describes the trade agreements in which this country is involved. Provides resources for U.S. companies to obtain information on the use of these agreements. Free trade agreements are concluded between countries with the aim of creating a free trade area in which trade between countries is liberalized and thus facilitated. Liberalization consists, inter alia, of the reduction or progressive elimination of customs duties on goods originating in the free trade area.

In addition, the United Kingdom has agreed on a number of measures with EEA EFTA States to ensure that trade in services can continue as smoothly as possible before the entry into force of a Comprehensive Trade Agreement in 2021. The deal will be a major boost to trade between the four non-EU countries, which already amounts to £21.6 billion, British Minister Liz Truss said. As the UK`s largest exporter of manufactured goods, the successful conclusion of agreements with key EEA/EFTA trading partners is good news. The chemical industry supports global duty-free and fair trade and after the period of uncertainty caused by the Covid-19 pandemic, our industry is looking forward to contributing to the recovery of the UK economy. The agreement ensures that UK companies continue to have duty-free access to all exports of industrial products. In addition, British consumers can continue to enjoy popular Icelandic and Norwegian products such as frozen haddock. More than 30% of UK imports of fish fillets came from Iceland last year, many of which are used in UK fish and chip shops. Norway`s trade in goods with the EU shows a deficit of €2.5 billion in 2019. Almost 60% of Norwegian exports go to the EU.

“Prior to the UK`s withdrawal from the EU, Norway enjoyed the free movement of goods, services, capital and people to the UK through the EEA Agreement,” Norway said. Norwegian Prime Minister Erna Solberg said: “The agreement allows for trade growth for both our countries.” Without this agreement, tariffs on UK imports from Iceland and Norway under the World Trade Organisation trade agreements could have increased by around £65 million[1]. In terms of total trade volume, this agreement is more important for Norway and Iceland than for the United Kingdom. Sweden is a member of the EU and does not itself conclude free trade agreements. However, Sweden is actively involved in the PREPARATIONS and work carried out by the EU. The task of the National Board of Trade is to provide the Swedish Government with qualified analysis for trade policy negotiations and decisions. The goods agreement is an interim agreement, as the UK and EEA-EFTA countries finalise negotiations on a comprehensive free trade agreement, which is expected to enter into force in 2021. Today`s agreement secures more than £20 billion in duty-free trade for businesses between our countries and supports jobs and livelihoods in the UK and beyond. I look forward to concluding a comprehensive trade agreement on goods and services with our long-standing partners, Norway, Iceland and Liechtenstein, which is expected to enter into force in 2021 and will fulfil our shared commitment to free and fair trade. Economic interaction and cooperation between the Nordic countries have been lively. Trade between the Nordic countries was important and a significant proportion of foreign direct investment from one Nordic country went to another Nordic country.

Intra-industrial trade, i.e. exports and imports of the same type of products, were also common. The new agreement builds on the renewal agreement that the UK signed before leaving the EU economic zone, and the government stresses that it contains important elements of digital trade that go beyond what the EU has. The European Union is a political and economic union of 28 Member States, mainly located in Europe. Here you can access the European Union`s pages on trade agreements. In addition to customs, EU free trade agreements also address issues such as non-tariff barriers, services, investment, public procurement and intellectual property. In addition, the agreements ensure an open, stable and predictable legal environment. They help create new business opportunities and further develop trade and investment with different countries or regions. Icelandic Foreign Minister Gudlaugur Thor Thordarson said a deal with the UK had been a priority for his country and would be “crucial for Icelandic businesses and consumers”.

But digital and data regulations are relatively new elements in free trade agreements, and it`s still unclear how effective they are in the long run. An agreement restricting trade in goods was signed today (Tuesday 8 December) in London between the UK and Iceland and Norway. .