Norway has several trade agreements with other countries, we are going to be looking at the details of these trade agreements.

EFTA

The European Free Trade Association (EFTA) was founded in 1960 as an intergovernmental organization. Six of the ten EFTA members have been incorporated by the European Union (EU) since then. Iceland, Liechtenstein, Switzerland, and Norway make up EFTA today. All are members of the European Economic Agreement(EEA), except Switzerland.

EFTA was created on the principles of free trade as a method of generating progress and prosperity among its Member States and developing closer economic cooperation among Western European countries. Furthermore, EFTA was established to provide an alternative to the European Union’s (EU) economic integration goals.

One of EFTA’s key objectives has been to contribute to the global expansion of trade. EFTA has actively pursued commercial links with third countries in and outside of Europe since the early 1990s. One of the main principles in EFTA’s discussions with third-party countries has been to ensure that EFTA enterprises have the same rights and privileges in third-party markets as businesses from the EU. 

Free trade agreements provide Norway with access to foreign markets and make commerce with partner nations easier, and they are thus an essential aspect of Norwegian trade policy.

Norway and EU

The European Economic Area agreement (EEA)  governs the majority of Norway’s economic and trade connections with the EU.

Norway, as a member of the European Economic Area, fully implements the entire acquis communautaire applicable to the four freedoms (free movement of commodities, persons, services, and capital), as well as the acquis communautaire applicable to flanking policies (ie transport, competition, social policy, consumer protection, environment, statistics and company law).

As a result, the EEA agreement ensures a high level of economic integration, as well as similar competition, state assistance, and government procurement standards.

Agriculture and fisheries are exempt from the EEA Agreement. Article 19 of the agreement, on the other hand, emphasizes the parties’ commitment to progressive agricultural trade liberalization, which is accomplished through the signing of individual agreements on that basis.

UK – NORWAY

On July 8, 2021, the United Kingdom signed a free trade agreement (FTA) with Iceland, Liechtenstein, and Norway. Following the UK’s exit from the EU, the government has drafted new bilateral agreements “that replicate, as far as feasible, the benefits of the UK’s existing trade arrangements with existing partners,” according to the government.

The FTA establishes the UK’s future trading relationship with Iceland, Liechtenstein, and Norway. The FTA “builds on the existing agreements for goods trade with Iceland and Norway,” according to the Department of International Trade. Additionally, it introduces “new arrangements between the United Kingdom and Iceland, Liechtenstein, and Norway in the areas of services, investment, and digital trade,” according to the government.

The FTA contains clauses on:

• international trade in commodities and services, including tariff rate quotas, customs, and origin restrictions
• steps to ensure sanitary and phytosanitary conditions
• technical trade impediments
• monetary remedies

US – NORWAY

Following Norway’s secession from Sweden in 1905, the United States established diplomatic ties with the country. Norway and the United States have a long history of amicable relations based on democratic values and mutual respect. The two countries collaborate closely on a wide range of topics that affect both countries and the rest of the world.

The US and Norway enjoy a thriving economic relationship that is generating jobs, advancing the development of safe and secure energy sources, and encouraging innovation. Norway plays an essential stabilizing role in energy markets and energy security as the world’s second-largest exporter of natural gas and eleventh-largest exporter of oil. Many American firms do business in Norway’s petroleum industry, and vice versa. The US and Norway are likewise committed to expanding access to modern energy services for the 1.4 billion people on the earth who do not have access to electricity today.