A free trade agreement between Iceland and China was signed today at 12:00 (UTC+8), RÚV reports.
Iceland’s Minister of Foreign Affairs Össur Skarphéðinsson and China’s Minister of Commerce, Gao Hucheng signed the agreement at a reception in Tiananmen Square in the presence of Prime Minister Jóhanna Sigurðardóttir and Premier of China Li Keqiang. Össur says this agreement will create new jobs in China and give Iceland the opportunity to take advantage of China’s rapidly expanding market.
The agreement will significantly lower tariffs on imports to Iceland as well as increase the export of seafood and other products to China, according to an article on Bloomberg Businessweek. Chinese officials have keen interest in Iceland as they try to gain a foothold in the Arctic for the extraction of oil, gas, gold and more.