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| Switzerland Pushes For China FTA |
by Mary Swire, Tax-News.com, Hong Kong
Monday, August 09, 2010
Accompanied by a high-ranking business delegation, Swiss President, Doris Leuthard
starts a five-day visit to China on August 10 to promote
increased bilateral economic relations, talks which are expected to lead
to the eventual conclusion of a free trade pact.
According to the Swiss Federal Council, the main aims of the mission are to
hold official talks with Chinese President Hu Jintao, and a meeting with the
Chairman of China’s National People's Congress, Wu Bangguo. Further meetings
at government level are planned in order to strengthen and consolidate relations
between the two countries and improve access to the Chinese market for Swiss
products and investments. Talks will focus on the 60th anniversary of diplomatic
relations and the joint feasibility study with a view to a free trade agreement
between Switzerland and China.
In economic terms, China (including Hong Kong) has since 2002 been Switzerland's
most important trading partner in Asia. Of particular note is Switzerland’s
unusual trade surplus with China, which it has maintained since 2003. In 2009,
bilateral trade amounted to around CHF10.6bn; Swiss exports
reached CHF5.5bn, while imports from China amounted to CHF5.1bn. The level of
Swiss investments in China had reached around CHF6.8bn by the end of 2008.
Talks
for a free trade agreement, which will significantly increase trade flows by
removing tax and tariff barriers, commenced in November 2009 at which point the two countries commissioned
a feasibility study.
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