China-Iceland FTA Tariff Concession into Force on July 1

Upon the approval by China State Council, the tariff concession scheme under China-Iceland Free Trade Agreement (FTA) will enter into force on July 1, 2014. As one of the comprehensive FTAs that China has reached in recent years, the China-Iceland FTA, covering trade in goods, trade in services, investment, etc. is expected to play a positive role in the promotion of China-Iceland and even China-EU cooperation in trade and economics.

According to the tariff concession scheme therein, China and Iceland will jointly give zero tariff to nearly 96% of HS Codes in a gradual way.

Estimated by 2012 bilateral trade volume, China and Iceland will respectively make 96.23% and 100% of their traded goods be free from tariff. The Chinese concession involves Iceland-originating aquatic products including frozen Greenland flatfish, frozen holothurians, and frozen haddock and some of agricultural and industrial products; the Iceland concession involves all industrial products and most of agricultural products made in China.