Free Trade Agreement between EFTA and South Korea
The Free Trade Agreement (FTA) between the member states (Iceland, Norway, Liechtenstein and Switzerland) of the European Free Trade Association (EFTA) and the Republic of Korea entered into force on 1 September. The agreement covers all major areas of these countries' trade relations. EFTA states are the first European states to have a free trade agreement with South Korea, the world's eleventh largest economy and Asia's third largest exporter. The agreement is South Korea's third free trade agreement, following agreements with Chile and Singapore, with which EFTA has FTAs as well. According to a calculation by the South Korean side, a comprehensive FTA will boost EFTA exports by an estimated US$715 million, with most significant trade gains expected in the following sectors: machinery and mechanical appliances, steel and metal products, chemical products, fish and marine products.