International trade between the EFTA trade bloc and China

Abstract

In this chapter, the authors analyse international trade relations between the European Free Trade Association (EFTA) trade bloc and China, along with free trade agreements (FTAs) with China since 2014. More specifically, they are interested in them if they are beneficial for the EFTA trade bloc to have FTAs with China. This is because there are individual countries within the EFTA that have FTAs with China. Some of the EFTA countries have individual FTAs with China. The research question is “Is it more beneficial for the EFTA countries as a bloc to have some type of trading agreement with China?” The question is highly interesting, China has comparative advantage in the production of various goods. The conclusion is therefore that FTAs appear to be primarily beneficial for exports from China, since they positively affect imports to the EFTA countries from China.