01What it covers
Modernised in 2023 — covers goods, services, raw materials (lithium, copper), investment protection, sustainability.
Free trade agreements like this reduce tariff barriers and set common standards for non-tariff topics (standards, public procurement, investment protection). For exporters this translates into lower duties, faster clearance and more predictable compliance — provided the rules of origin are met.
02Key benefits
- Duty-free trade for almost all goods
- Access to critical raw materials
- Protection of geographical indications
03Proof of origin and practice
REX + statement of origin.
Note that rules of origin are defined product-specifically in the agreement's annexes — there is rarely a single percentage threshold. For complex goods with third-country inputs, document an origin calculation.
04Who benefits most?
The agreement pays off primarily for companies with recurring exports or imports between the parties and for products whose "normal" duty is ≥ 3–5 %. For electronic products already enjoying 0 % MFN duties, the benefit lies more in regulatory coherence than tariff elimination.
Domande frequenti
When does a product qualify for preference?
Whenever it meets the product-specific rules of origin (e.g. wholly obtained, or sufficiently worked/processed). For third-country components, a value rule ("max. 40 % non-originating value") or a chapter-change rule typically applies.