Positive Progress made in fourth round of China-Nicaragua FTA negotiation held in Managua
Published: Jul 07, 2023 12:54 AM

Photo: VCG

Photo: VCG

The fourth round of China-Nicaragua Free Trade Agreement (FTA) negotiations was held from Monday to Wednesday in Managua, the capital of Nicaragua. According to China's Ministry of Commerce (MOFCOM), senior officials from both sides conducted in-depth consultations and achieved positive progress in various sectors.

Vice Minister of Commerce Wang Shouwen and Minister of Development, Industry, and Trade of Nicaragua Jesus Bermudez led their respective delegation teams. The MOFCOM statement mentioned that positive progress was made in sectors including commodity trade, cross-border service trade, financial services, and temporary entry for business personnel.

Both sides agreed to work together to complete the negotiations by the end of July. Additionally, Wang met with several senior officials from Nicaragua and discussed topics such as developing bilateral economic and trade relationships and the FTA negotiations.

According to MOFCOM's statement, the FTA negotiations started in July 2022. On May 1, 2023, the bilateral Early Harvest Arrangement, which was signed in July 2022, went into effect. Certain imports from Nicaragua, such as beef, seafood, cable, and clothing, will be granted zero-tariff status based on the tariff rate document.

Official data showed that in 2022, bilateral trade reached $760 million, with China primarily exporting textiles, computer and communication equipment, and importing agricultural products, sugar, leather, and timber.

In December 2021, China and Nicaragua resumed diplomatic relations after the Central American country announced the severance of "diplomatic ties" with Taiwan island. Nicaragua has become the 181st country to establish normal diplomatic relations with China, according to the Xinhua News Agency.