Bern: Switzerland and China have successfully concluded negotiations to update their free trade agreement, paving the way for nearly all Swiss exports to China to become duty-free.

According to Anadolu Agency, Swiss Federal President and Economy Minister Guy Parmelin and Chinese Commerce Minister Wang Wentao completed these negotiations in Bern, as reported by Switzerland's Federal Department of Economic Affairs, Education and Research. Under this newly updated agreement, 99.8% of current Swiss exports to China will enter the Chinese market duty-free after specific phase-out periods, a significant increase from just over half under the existing arrangement.

The updated trade agreement also aims to improve market access for Swiss investors in China and includes enhanced provisions related to environmental protection and labor rights. Additionally, the agreement covers updated rules on trade in services, digital trade, competition, rules of origin, trade facilitation, and economic and technical cooperation.

The agreement is anticipated to be signed before the end of the year, marking a significant milestone in the trade relations between the two nations. Switzerland and China have maintained a free trade agreement since 2014, and negotiations for this update began in 2024, culminating in five rounds of talks.

China stands as Switzerland's third-largest trading partner, following the EU and the US.