What does the updated trade agreement between Ukraine and EFTA entail?

Ukraine has signed a modernized agreement with the European Free Trade Association (EFTA includes Iceland, Liechtenstein, Norway, and Switzerland), which features updated chapters on trade facilitation, sanitary and phytosanitary measures, public procurement, technical cooperation, and intellectual property protection. New chapters have also been added to the document, including e-commerce, support for small and medium-sized businesses, trade, and sustainable development.

Additionally, the agreement incorporates modern rules regarding the origin of goods, paving the way for deeper integration into European supply chains. Ukrainian manufacturers will be able to export a much broader range of goods to EFTA countries duty-free or at reduced rates; in particular, duties on industrial products and some duties on agricultural products have been eliminated.

Last year, trade turnover between Ukraine and EFTA countries reached nearly €1.3B. Ukrainian exports to EFTA are increasing by an average of 4.9% per year, while imports from EFTA are rising by 9.3%.