After nine rounds of negotiations China and Switzerland will soon sign the first free trade agreement between China and a continental European country (another European country Island has signed the first free trade agreement with China). Do not hesitate to contact me if you have any questions in relation to this matter.
Benefits for China
The benefits for China are obvious:
- Switzerland is already important for China which has become Switzerland’s largest trading partner in Asia while Switzerland is China’s seventh-largest trading partner in Europe and its sixth-largest source of foreign investment.
- Swiss with its central European location, first class infrastructures, no nonsense attitude, low taxes, fair and clear legal framework and competitive economy may become for China the perfect bridge head to invest everywhere in Europe.
- Also Switzerland as Germany has a lot of high tech SME in which Chinese companies may want to invest
Benefits for Switzerland
- As stated above Switzerland is already very much implicated in China and is the sixth largest foreign investor in China
- Many Swiss companies that wanted to invest in China but where waiting for a more stable legal framework will certainly profits of the free trade agreement to make the jump.
- Swiss PME may be able to rise more easily capitals from China
- Finally many companies among which watch makers will certainly benefits of the added freedom brought by the free trade agreement
The agreement is expected to be signed in July 2013 and both countries have already announced that they will rush the ratification process.
Do not hesitate to contact me for more information about investing in China or Switzerland at [email protected]