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China, Iceland to Start FTA Talks
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China and Iceland will start formal negotiations on a Free Trade Agreement (FTA), sources with the Ministry of Commerce (MOFCOM) said in Beijing on Sunday.

According to the ministry's press office, the two sides exchanged views at their latest discussion in Reykjavik, Iceland, on a number of issues such as merchandise trade, service trade and investment, at a two-day meeting on the feasibility study.
The meeting, which opened on July 3, was held between MOFCOM and the Foreign Trade Ministry of Iceland.
According the feasibility report, the FTA would improve the economy and living standards of both countries. It suggested an early start of formal negotiations between the two governments.
Iceland is the first developed country in Europe to recognize China's market-economy status and is also the first European country to start FTA feasibility discussions with China.
China has so far established nine FTAs with 27 countries and signed 334 regional trade cooperation deals. Currently, China is also in FTA talks with New Zealand, Australia, and the Gulf Cooperation Council.
(Xinhua News Agency July 10, 2006)


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