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Finance

Vietnam signs free-trade pact with European countries including Norway, Switzerland

Published by Global Banking & Finance Review

Posted on October 18, 2026

2 min read

· Last updated: October 18, 2026

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Vietnam Finalizes Free Trade Agreement with Norway, Switzerland and EFTA

Overview and Key Details of the Free Trade Agreement

Agreement Signing and Participants

Oct 18 (Reuters) - Norway, Switzerland, Iceland and Liechtenstein have signed a free-trade agreement with Vietnam, the governments of Norway and Vietnam announced on Sunday.

• Vietnam's trade ministry said it signed the deal in Hanoi with the European Free Trade Association members.

Tariff Reductions and Economic Impact

Immediate and Long-Term Tariff Benefits

• Around half of Norway's exports to Vietnam will be tariff-free when the agreement enters into force, with more than 98% to be tariff-free within seven years, the Norwegian government said in a statement.

Background and Negotiation Timeline

• Long-stalled free-trade talks were relaunched last year amid global tensions over US tariffs. Negotiations concluded in July.

Trade Composition and Bilateral Exchange

Vietnam's Exports to EFTA

• Vietnam's trade ministry said the Southeast Asian country mainly exports seafood, footwear, textiles, machinery and equipment, electronics and components to the EFTA market and imports industrial machinery and equipment, chemicals, pharmaceuticals, and raw materials for production.

Bilateral Trade Volume

Annual Trade Figures

• Bilateral trade between Vietnam and EFTA member countries has averaged $2 billion annually, the ministry said.

Reporting Credits

(Reporting by Akanksha Khushi in Bengaluru and Mikhail Flores in Manila; Editing by William Mallard)

Key Takeaways

  • Approximately 50% of Norway’s exports to Vietnam will become tariff‑free upon signing, rising to over 98% within seven years, with salmon immediately tariff‑free and mackerel phased out over three years. (regjeringen.no)
  • The agreement concluded negotiations in July after being relaunched in September 2025, and covers goods, services, investment, intellectual property, sustainable development and more. (efta.int)
  • Bilateral trade between Vietnam and EFTA averaged about €4.8 billion in 2025, with Vietnam running a surplus of €2.5 billion, and key exports include electronics, fish, footwear, textiles, machinery and pharmaceuticals. (efta.int)

References

Frequently Asked Questions

Which countries signed the free trade agreement with Vietnam?
Norway, Switzerland, Iceland, and Liechtenstein signed a free trade agreement with Vietnam.
What products does Vietnam mainly export to EFTA countries?
Vietnam exports seafood, footwear, textiles, machinery, equipment, electronics, and components to EFTA countries.
When will the majority of Norway's exports to Vietnam become tariff-free?
More than 98% of Norway's exports to Vietnam will be tariff-free within seven years of the agreement's enforcement.
What is the annual value of bilateral trade between Vietnam and EFTA member countries?
Bilateral trade between Vietnam and EFTA member countries averages $2 billion annually.
What goods does Vietnam import from EFTA members?
Vietnam mainly imports industrial machinery, equipment, chemicals, pharmaceuticals, and raw materials from EFTA members.

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