After the United Kingdom left the EU, there has been uncertainty about how Norway will relate to one of its most important trade relations. A free trade agreement has now been negotiated between the EEA countries Iceland, Liechtenstein and Norway on the one hand, and the United Kingdom on the other.
A core principle for Norway in the negotiations has been that Norwegian companies should have similar opportunities in the British market as countries within the EU. The Norwegian Government has stated in its press release that this has been achieved, and that Norway in some cases has achieved better conditions than the EU countries.
One of the most important things to note about the agreement is that tariff exemption for industrial goods will be continued. The United Kingdom is by far one of Norway's largest single markets for the export of industrial goods. The free trade agreement continues the historic tariff exemption for industrial goods between Norway and the United Kingdom, which has lasted for almost 60 years.
Another important part of the agreement is that Norwegian citizens who want to establish a business in the UK can stay there for three months to do so, and vice versa. Norwegian citizens on a business trip can stay in the UK for up to 3 months.
If you are Norwegian and employed by an international company established in the UK, you can get up to 3 years of residence with your spouse / partner and children. If you operate in certain industries, for example as an installer, researcher, musician, etc., you can also stay for up to 3 months with the other party.
The agreement also ensures good conditions for the seafood industry, in the form of tariff rates and duty-free quotas corresponding to what Norwegian exporters had to the UK before Brexit. This strengthens the predictability for seafood businesses, as they know what to expect from tariff preferences and duty-free import quotas.
When it comes to agriculture, the agreement opens for increased trade between Norway and the United Kingdom. Norway has nevertheless wanted to protect its grass-based productions within the dairy and meat industry, as the Government sees this as important for supporting Norwegian agriculture. For this reason, priority is given to import quotas for goods where Norway has a need for this.
The agreement also clarifies an uncertainty related to requirements for board composition for limited companies. Pursuant to Article 3.9 of the Agreement, neither party will set regulations on the domicile or nationality of the management or member of the board of a company that exists or will be established.
The agreement contains several other chapters, where a selection can be summarized as follows:
The agreement will enter into force as soon as the parties have completed their internal procedures for approval, and the agreement will then be signed.