The agreement means that 95% of goods exported to Norway and 90% of goods exported to Iceland will be exempt from customs duties. The agreement is called an “intermediate solution,” while the EEA-EFTA countries and the UK are negotiating a free trade agreement that is expected to be concluded in 2021. The United Kingdom has signed a continuity agreement with Norway and Iceland, which will come into force on 1 January 2021, when the UK`s transition period with the European Union will end. The agreement ensures that UK businesses will continue to enjoy duty-free access to all industrial exports. In addition, British consumers can continue to enjoy popular Icelandic and Norwegian products such as frozen haddock. More than 30% of UK imports of fish fillets last year came from Iceland, many of which are used in British fishmongers and chips. Without this agreement, tariffs on British imports from Iceland and Norway could have been increased by about $65 million under World Trade Organization trade agreements. A trade-blocking agreement was signed in London. The deal means there will be no new tariffs on industrial products after Brexit.

The fixed-term agreement was signed by Norway`s Vibeke Rysst-Jensen and British chief negotiator Charlotte Heyes in London. Today`s agreement blocks duty-free trade for businesses worth more than $20 billion between our countries and supports jobs and livelihoods across Britain and beyond. Norway`s Ministry of Trade and Industry reached an interim trade continuity agreement with the UK and Iceland on Tuesday, effective January 1, pending the entry into force of a comprehensive free trade agreement. The UK signed a trade agreement with Iceland and Norway on 2 April 2019. The agreement was signed to maintain continued trade and was part of preparations for a possible “no deal” Brexit. Since the UK leaves the EU through an agreement, the agreement will not enter into force. International Trade Minister Ranil Jayawardena responded to the agreement by saying: “Today`s agreement blocks duty-free trade for businesses worth more than $20 billion between our countries and supports jobs and livelihoods across Britain and beyond. I look forward to concluding with our long-standing partners, Norway, Iceland and Liechtenstein, a comprehensive trade agreement on goods and services, which is expected to come into force in 2021 and that respects our common commitment to free and fair trade. I look forward to concluding with our long-standing partners, Norway, Iceland and Liechtenstein, a comprehensive trade agreement on goods and services, which is expected to come into force in 2021 and that respects our shared commitment to free and fair trade.

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