The Free Trade Agreement between Serbia and China, effective July 1, 2024, opens up a significant opportunity for Serbian businesses. The agreement is granting preferential access to the vast Chinese market of 1.4 billion consumers. Covering over 20,000 products, this agreement is poised to boost Serbian exports and integrate local businesses into China's global supply chain.
Key Benefits of the Serbia-China Free Trade Agreement
Signed in October 2023 by Serbian and Chinese trade ministers in Beijing, the Free Trade Agreement eliminates tariffs on 60% of goods initially, with further reductions planned over the next 5 to 10 years. As of July 1st, Serbian exports to China, including fresh fruits and vegetables, pharmaceuticals, and chemical and machinery products, will enjoy tariff-free status (see the table below).
Opportunities for Serbian Businesses
To take advantage of the Free Trade Agreement, companies must prove that over 50% of the value of their exported goods originates in Serbia. This requirement presents a significant opportunity for investors to access the world's largest market. With this agreement, Serbia joins Switzerland and Georgia as the only European countries with similar trade deals with China.
To conclude with, the Serbia-China Free Trade Agreement intends to unlock new growth opportunities for businesses in the expansive Chinese market.
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