First China-Nicaragua Free Trade Agreement

On January 1, 2024, the China-Nicaragua Free Trade Agreement (FTA) entered into force. 

Nicaragua is China's fifth FTA partner in Latin America after Chile, Peru, Costa Rica, and Ecuador. With the China-Nicaragua FTA — China's 21st free trade deal — taking effect, more than 95 percent of their products will eventually be subject to zero tariffs, such as the top exports of Nicaragua including beef, shrimp, coffee and cocoa, and Chinese products including automobiles, new-energy vehicles, motorbikes, batteries, photovoltaic modules, garments and textiles, shoes and boots, etc.

The China-Nicaragua FTA will make the foreign trade enterprises enjoy greater tariff reductions, which is positive to the expansion of international market share and Henan's imports and exports.

At present, Henan's imports from Nicaragua, such as men's T-shirts, gym shorts, baseball caps, and other commodities, and exports to Nicaragua, such as automobiles, aluminum stranded wires, tyres, and other commodities can enjoy tariff cuts.

China will continue to improve the publicity, implementation, and guidance of FTA tariff preferential policies, and help enterprises to make full use of tariff concessions under the FTA and other preferential policies with the purpose of boosting imports and exports.