WT/REG463/1  
7 July 2023 
(23-3079) Page: 1/46 
Committee on Regional Trade Agreements    
 
FACTUAL PRESENTATION  
COMPREHENSIVE ECONOMIC PARTNERSHIP AGREEMENT BETWEEN   
THE EFTA STATES AND ECUADOR  
(GOODS AND SERVICES ) 
Report by the Secretariat  
 This report, prepared for the consideration of the  Comprehensive Economic Partnership 
Agreement between the EFTA States and Ecuador, has been drawn up by the WTO 
Secretariat on its own responsibility and in full consultation with the Parties. The factual 
presentation reproduces as closely as possible the terminology used in the Agreement 
and in the comments provided and does not imply official endorsement or acceptance 
by the Secretariat of such terminology. The report has been drawn up in accordance 
with the rules and procedures contained in the Decision for a Transparency Mecha nism 
for Regional Trade Agreements (WT/L/671) and thus does not imply any value 
judgement by the Secretariat regarding the contents of the Agreement.  
 
Any technical questions arising from this report may be addressed to Maria Donner 
Abreu (tel: +41 22 739 5244) . Any statistical questions arising from this report may be 
addressed to Rowena Cabos (tel: +41 22 739 5185) . 
  WT/REG463/1  
 
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  Table of Contents  
Page 
1   TRADE ENVIRONMENT  ................................ ................................ ................................ . 4 
2   CHARACTERISTIC ELEMENTS OF THE AGREEMENT  ................................ ......................  7 
2.1   Background Information  ................................ ................................ .............................  7 
3   PROVISIONS ON TRADE IN GOODS  ................................ ................................ .............  7 
3.1   Import duties and charges, and quantitative restrictions  ................................ .................  7 
3.1.1   General provisions  ................................ ................................ ................................ .. 7 
3.1.2   Liberalization of trade and tariff lines  ................................ ................................ .........  8 
3.1.3   Liberalization schedule ................................ ................................ .............................  8 
3.1.4   Tariff rate quotas  ................................ ................................ ................................ ... 12 
3.2   Rules of origin  ................................ ................................ ................................ ..........  12 
3.3   Export duties and charges, and quantitative restrictions  ................................ .................  13 
3.4   Regulatory provisions on trade in goods  ................................ ................................ ....... 13 
3.4.1   Standards  ................................ ................................ ................................ .............  13 
3.4.2   Safeguard mechanisms  ................................ ................................ ...........................  14 
3.4.3   Anti-dumping and countervailing measures  ................................ ...............................  15 
3.4.4   Subsidies and State -aid ................................ ................................ ..........................  15 
3.4.5   Customs -related procedures and trade facilitation ................................ .......................  15 
3.4.6   Other regulations  ................................ ................................ ................................ ... 16 
3.5   Sector -specific provisions on trade in goods  ................................ ................................ . 16 
4   PROVISIONS ON TRADE IN SERVICES AND INVESTMENT  ................................ .........  16 
4.1   Scope and definitions  ................................ ................................ ................................  16 
4.2   Denial of benefits  ................................ ................................ ................................ ..... 17 
4.3   General provisions on trade in services  ................................ ................................ ........  17 
4.3.1   Market access  ................................ ................................ ................................ ....... 17 
4.3.2   National treatment and MFN  ................................ ................................ ....................  17 
4.3.3   Commercial presence  ................................ ................................ .............................  17 
4.3.4   Movement of natural persons  ................................ ................................ ..................  17 
4.4   Liberalization commitments  ................................ ................................ ........................  19 
4.4.1   EFTA States  ................................ ................................ ................................ ..........  20 
4.4.2   Ecuador  ................................ ................................ ................................ ................  27 
4.5   Regulatory provisions  ................................ ................................ ................................  30 
4.5.1   Domestic regulation  ................................ ................................ ...............................  30 
4.5.2   Recognition  ................................ ................................ ................................ ...........  30 
4.5.3   Subsidies  ................................ ................................ ................................ ..............  30 
4.5.4   Safeguards  ................................ ................................ ................................ ...........  30 
4.5.5   Other provisions on investment ................................ ................................ ................  30 
4.5.6   Other  ................................ ................................ ................................ ...................  31 
4.6   Sector specific provisions on trade in services  ................................ ...............................  31 
4.6.1   Telecommunication  ................................ ................................ ................................  31 WT/REG463/1  
 
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  4.6.2   Financial services  ................................ ................................ ................................ ... 31 
5   GENERAL PROVISIONS OF THE AGREEMENT  ................................ .............................  32 
5.1   Transparency  ................................ ................................ ................................ ...........  32 
5.2   Current payments and capital movements  ................................ ................................ .... 32 
5.3   Exceptions  ................................ ................................ ................................ ...............  32 
5.4   Accession and Withdrawal  ................................ ................................ ..........................  33 
5.5   Institutional framework  ................................ ................................ .............................  33 
5.6   Dispute settlement  ................................ ................................ ................................ ... 33 
5.7   Relationship with other agreements concluded by the Parties  ................................ ..........  34 
5.8   Government procurement  ................................ ................................ ..........................  36 
5.9   Intellectual property rights  ................................ ................................ .........................  37 
5.10   Competition  ................................ ................................ ................................ ...........  38 
5.11   Environment and Labour  ................................ ................................ ..........................  38 
5.12   Electronic commerce  ................................ ................................ ...............................  39 
5.13   Small and medium -sized enterprises  ................................ ................................ .........  39 
5.14   Other  ................................ ................................ ................................ ....................  39 
5.14.1    Taxation  ................................ ................................ ................................ .............  39 
5.14.2    State trading enterprises  ................................ ................................ .......................  39 
5.14.3    Cooperation  ................................ ................................ ................................ ........  39 
ANNEX 1  ................................ ................................ ................................ ........................  40 
ANNEX 2  ................................ ................................ ................................ ........................  45 
 
  WT/REG463/1  
 
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  Key Facts  
 
Parties to the Agreement :  Ecuador, Iceland, Norway, 
Switzerland, Liechtenstein  
 
Date of Signature:    25 June 2018  
 
Date of Entry into Force:   1 November 2020  
 
Date of Notification:   22 February 2022  
 
Full implementation:   1 January 2036  
 
 
1  TRADE ENVIRONMENT1 
1.1.  In 2021, the collective GDP of the four EFTA States – Iceland, Liechtenstein, Norway and 
Switzerland - totalled USD 1,320.4 billion and that of Ecuador USD 106.2 billion.  
1.2.  The Parties' ranking in world trade of goods and services can be found in Table 1.1 . Trade 
between the Parties is relatively small , amounting in 2021 to the less than 0.5% of their goods trade. 
Only Ecuador's goods export to Switzerland was above this threshold, reaching 1 % and making 
Switzerland  the 11th largest export partner for Ecuador.  
Table 1.1: Parties' rankings in world and bilateral trade  
Party  Goods, 2021  Services, 2020  
Import  Export  Import  Export  
World ranking  
Iceland  91 89 67 56 
Norway  27 25 19 20 
Switzerland  15 16 10 10 
Ecuador  50 49 56 77 
Source:  Data with the world, WTO Statistics Database.  
1.3.  During the period 2011 -2021 Ecuador was a net importer of goods and services ; in 2020 and 
2021 while it observed a positive trade balance in goods , its services deficit widened in 2021 . A 
similar trend can be observed in its bilateral trade in goods with EFTA States. The EFTA States have 
consistently  been net exporters of goods and generally net services importers (Chart 1.1).  Bilateral 
data on  trade in services are not available.  
 
1 Data on GDP and breakdown by category sourced from WTO Trade Profiles 202 2. 2021 trade data on 
the basis of EU(28), while for 2020 the basis is EU(27).  Bilateral data sourced from UNSD, Comtrade database. 
Data for Switzerland also includes Liechtenstein.  WT/REG463/1  
 
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  Chart 1.1 EFTA and Ecuador:  Global and bilateral trade , goods and services  (2011 -2021)  
 
Source:  Goods trade, UNSD, Comtrade database; services trade, WTO Statistics data base.  
 
1.4.  In 2020, manufacturing accounted for more than two -thirds of goods imports of the Parties. 
The main exports were agriculture for Iceland and Ecuador (51% and 62% respectively), fuels and 
mining for Norway (56%) and manufacturing for Switzerland (71%). Average 2017 -2019 t rade 
sectoral composit ion at a higher level of disaggregation can be found in Chart 1.2. In terms of 
bilateral trade, chemicals accounted for almost 60% of Ecuador's imports from EFTA Parties, which 
is also a key EFTA export, followed by machinery  which is a relatively smaller EFTA export . EFTA 
Parties ' main  bilateral imports from Ecuador were precious stones and vegetables , which are also 
key exports for Ecuador; however, minerals which is the largest export category for Ecuador are not 
imported in large quantities by EFTA . 
Chart 1.2 EFTA  and Ecuador: Composition of trade in merchandise, annual average 
(2017 -2019)  
 
Source:  UNSD, Comtrade database . 
0100200300400500600
0100200300400500600
2011 2013 2015 2017 2019 2021EFTA
Bilateral goods imports Bilateral goods exports
Goods imports Goods exports
Services imports Services exportsUSD Billion
USD Million
(right axis)
(leftaxis) {0100200300400500600
05101520253035
2011 2013 2015 2017 2019 2021Ecuador
USD Billion
USD Million
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%Ecuador bilateral importsEcuador global importsEcuador global exportsEFTA bilateral importsEFTA global importsEFTA global exports
Trade (%)
Live animals; animal products Vegetables Prepared foods Minerals
 Chemicals  Plastics Precious stones  Base metals
Machinery Vehicles Optical OtherWT/REG463/1  
 
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  1.5.  Chart 1.3 the shows Parties' global services trade by services sectors, in the period 2017 -2019. 
Travel and transport are the major sectors traded by Ecuador; for EFTA, other business services are 
also of major importance.  Bilateral trade data is not available.  
Chart 1.3 EFTA and Ecuador : Composition of trade in commercial services , annual average 
(2017 -2019)  
 
Note:  For Ecuador, no trade in commercial services under manufacturing; maintenance and repair; and 
construction sectors, and no exports of commercial services for the Insurance s ector.  
Source:  WTO Statistics database.  
 
1.6.  Only data on global f oreign direct investment (FDI) is available. In the period 2011 -2021, data 
on stocks for EFTA States show they have consistently been net outward investors. In recent years 
both stocks and flows  have declined. Ecuador was  a net recipient of FDI measured by both  stocks 
and flows, with no outward FDI during this period  (Chart 1. 4). 
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%Ecuador global importsEcuador global exportsEFTA global importsEFTA global exports
Trade (%)
Travel Transport Finance
Insurance Intellectual Property Other Business Services
Personal Telecommunications & IT OthersWT/REG463/1  
 
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  Chart 1.4 EFTA and Ecuador:  FDI stock and flow with world, 2011 -2021  
 
Note:  For Ecuador, no outward FDI.  
Source:  UNCTADStat . 
 
2  CHARACTERISTIC ELEMENTS OF THE AGREEMENT  
2.1  Background Information  
2.1.  The Comprehensive Economic Partnership Agreement between the EFTA States and Ecuador 
(hereafter  the "Agreement") was signed  on 25 June 2018 , and entered into force on 1 
November  2020. It was notified to the WTO jointly by the Parties on 22 February 2022 under 
Article  XXIV:7(a) of the GATT 1994 and Article V of the GATS (WT/REG463/N/1 -S/C/N/1077).  
2.2.  The Agreement applies to trade and economic relations between each individual EFTA State 
and Ecuador  but not between individual EFTA States (Article 1.3).  It consists of 12 Chapters, 
18 Annexes and a record of understanding (RoU) concerning various article s of the Agreement . The 
text of the Agreement is available at:  
https://www.efta.int/free -trade/Free -Trade -Agreement/Ecuador  (EFTA States)  
https://www.produccion.gob.ec/acuerdo -comercial -efta/ (Ecuador)  
 
2.3.  In accordance with the 1923 Customs Treaty between Switzerland and Liechtenstein, 
Switzerland's  trade in goods commitments also apply to Liechtenstein  but not services . 
3  PROVISIONS ON TRADE IN GOODS  
3.1  Import duties and charges, and quantitative restrictions  
3.1.1   General provisions  
3.1.  Trade in goods is regulated by Chapter 2. The GATT 1994 disciplines on national treatment and 
on the general prohibition of quantitative restrictions (QRs) are incorporated into the Agreement  
mutatis mutandis . However, for Ecuador  these disciplines do not t o apply to  used clothing and 
-200-1000100200300400
 - 200 400 600 800 1,000 1,200 1,400 1,600 1,800 2,000
Flow, USD BillionsStock, USD BillionsEFTA
Flow World Inward Flow World Outward
Stock World Inward Stock World Outward0.00.61.21.82.4
 - 5 10 15 20 25
Flow, USD BillionsEcuador
Stock, USD Billions
(Right axis)
(Left axis)WT/REG463/1  
 
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  footwear as well as used vehicles, parts, spare parts and accessories  (including tyres) .2 The 
GATT  1994 disciplines on customs valuation and on fees and formalities are also incorporated into 
the Agreement.  
3.1.2   Liberalization of t rade and tariff lines3 
3.2.  Tariff liberalization is implemented on the basis of  the Parties ' schedules  (Annexes II -V of the 
Agreement ). 
3.3.  Tariffs may only be increased in case of a previous unilateral tariff reduction or upon an 
authorization from the WTO Dispute Settlement Body. If at any time the MFN duty is lower than the 
preferential rate the former shall replace the latter. Possible imp rovements in concessions may be 
discussed in the Joint Committee.  
3.1.3   Liberalization schedule  
3.4.  For EFTA States, full implementation occurred at the Agreement's entry into force in 
November  2020. Ecuador implements its tariff liberalization within a transition p eriod lasting 
until 2026;4  different liberalization schedules apply to the EFTA Parties.  
3.5.  Upon entry into force of the Agreement, close to half of Ecuador's tariff lines  became duty-free 
for imports from all EFTA Parties  (compared to 37.3% duty free on a n MFN basis) ,5 while 
corresponding import figures (average 2017 -2019) were more diverse  (Table 3.1; additional details 
can be found in Annex 1) . Following ten years of implementation around a further 39% of the tariff 
will become duty free for imports from the EFTA States. Upon full implementation in 2036, Ecuador 
will still impose tariffs on EFTA States on around 10% of its tariff lines, correspon ding to less than  
0.2%  of its imports from EFTA.  
Table 3.1: Parties' t ariff elimination under the Agreement  
(% of tariff lines and of 2017 -2019 imports)  
Duty phase -out period  ISL-ECU NOR-ECU CHE-ECU 
EFTA  Lines  
(%) Imports  
(%) Lines  
(%) Imports  
(%) Lines  
(%) Imports  
(%) 
2020 (MFN)  88.9 95.8 85.2 96.4 27.0 84.3 
2020 6.1 3.8 5.4 1.7 57.7 15.0 
Remain dutiable  5.0 0.4 9.4 1.9 15.3 0.7 
Total 100.0  100.0  100.0  100.0  100.0  100.0  
 Ecuador  ECU-ISL ECU-NOR ECU-CHE 
Lines  
(%) Imports  
(%) Lines  
(%) Imports  
(%) Lines  
(%) Imports  
(%) 
2020 (MFN)  37.3 21.6 37.3 59.5 37.3 39.7 
2020 10.3 60.4 10.3 13.4 10.5 10.9 
2024 12.8 13.3 12.9 19.4 13.1 36.4 
2026 0.9 2.3 0.8 0.1 0.8 2.2 
2029 25.1 0.2 25.7 5.6 26.3 8.8 
2031     0.0 0.0 
2034 1.2 0.2 1.2 0.6 1.2 1.3 
2036 2.3 2.1 2.3 1.3 2.3 0.7 
Remain dutiable  10.1 0.0 9.4 0.2 8.5 0.1 
Total 100.0  100.0  100.0  100.0  100.0  100.0  
Source:  WTO estimates based on data provided by Parties' authorities and the WTO-IDB.  
 
2 These exceptions are to be reviewed in the Joint Committee five years after entry into force.  
3 The Parties' schedules and the tables and charts relating to tariff liberalization  have been generated 
based on the Harmonized System  2017 nomenclature . Also, as per standard practice,  tariff lines subject to in -
quota rates are excluded in the computation  by the Secretariat  and for the calculation of averages, specific 
rates are excluded and the ad valorem  parts of alternate rates are included.  
4 First instalmen t at entry into force; further instalments on 1 January  of each year . 
5 Ecuador's MFN applied tariff in 2020 consisted of 7,998 lines at the ten -digit level. Around 93% of the 
tariff rates were ad valorem  and 595 lines had non -ad valorem  (specific or compo und) tariffs.  WT/REG463/1  
 
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  3.6.  In 2020, a high share of Iceland and Norway's tariff was duty -free on an MFN basis – 89% 
and 85% respectively; the equivalent figure for Switzerland was 27%.6 Around 96% of i mports from 
Ecuador into the first two countries  also entered duty -free while for Switzerland this was 84%. As 
of 2020, 5% of the lines in the case of Iceland, 9.4% for Norway and 15.3% for Switzerland  remained 
dutiable, accounting  for less than 2% of imports  during 2017 -2019 from Ecuador  in their markets . 
3.1.3.1   EFTA Parties  
3.7.  Tariff commitments by EFTA Parties w ere implemented at entry into force, as follows:  
a. tariffs on all non -agricultural products were eliminated. The list of such products differ s 
among EFTA Parties;  
b. agricultural products either benefit from tariff preference s (including duty -free) or are 
excluded from any tariff liberalization commitment. The list of "agricultural products" of 
Norway mirror that of Annex 1 of the WTO Agreement on Agriculture; while that of Iceland 
and Switzerland contain fewer products ; and  
c. for processed agricultural products, Norway grants Ecuador the same treatment as that 
provided  to the European Union.  
3.8.  Chart 3. 1 shows EFTA Parties' tariff liberalization by HS section. Upon the Agreement's entry 
into force , products in HS Sections V -XXI bec ame duty -free for Ecuador with the exception of a few 
chemical  product s (Section VI) in Norway and Switzerland. Conversely, a number of agricultural 
products in HS Sections I -IV will remain dutiable in all EFTA Parties , with average final dutiable rate s 
varying from 10.9% (imports of fats and oils into Norway) to 415% (imports of meat into Norway). 
In Switzerland, all remaining dutiable products are subject to specific rates  of duty . 
Chart 3.1 EFTA Parties: Tariff elimination under the Agreement, by HS Section  
 
* Specific duties only.  
EIF Entry into force.  
Note:  For Switzerland, the average MFN rate is not available since the tariff is subject to specific duties for 
which ad valorem  equivalents are not available.  
Source:  WTO estimates based on data provided by the Parties.  
 
6 In 2020 the MFN a pplied tariffs of EFTA Parties in 2020 consisted of between  7,200 to 9,000 lines at 
the eight -digit level (2017 nomenclature). Ad valorem  tariff rates accounted for 95%, 90% and 27% of the 
lines for Iceland, Norway and Switzerland, respectively, with a total of 490, 697 and 6,222 lines having non -ad 
valorem  tariffs (mainly compound duties for Iceland  and specific duties for Norway and Switz erland).  
0%10%20%30%40%
0%20%40%60%80%100%
I II III* IV V VI VII VIII IX X XI XII XIII XIV XV XVI XVII XVIII XIX XX XXI
Avg. tariff rateTariff linesICELAND
0%90%180%270%360%450%
0%20%40%60%80%100%
I II III IV V VI* VII VIII IX X XI XII XIII XIV XV XVI XVII XVIII XIX XX XXI
Avg. tariff rateTariff linesNORWAY
0%20%40%60%80%100%
I II III IV V VI VII VIII IX X XI XII XIII XIV XV XVI XVII XVIII XIX XX XXITariff linesSWITZERLAND
Free MFN, 2021 Free EIF, 2021 Remain Dutiable Avg. Final dutiable tariff (right axis)WT/REG463/1  
 
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  3.9.  At the HS Chapter level,  dutiable lines in Switzerland (specific duties only) will remain in  
Chapters 35 , 38 and 1-24 except Chapters 3, 13 and 14.  Lines remaining dutiable in Iceland and 
Norway are presented in Chart 3. 2. In Iceland, the ad valorem  component of the MFN rate was 
eliminated for products from Ecuador in Chapters 18 , 19 and 22 , and all preferential rates are 
specific. No preferential treatment is granted in the other Chapters.  For Norway , preferential 
treatment, including on specific rates, is granted for Chapters 6, 15, 21 and 35. The average for 
rates remaining dutiable range  from 8.7% to 120.6% .  
Chart 3.2 Iceland -Ecuador and Norway -Ecuador: Average of dutiable rates, by HS 
Chapter  
 
* Specific rates only.  
** The preferential rate is of a specific nature.  
Note:  Based on the HS 2017 nomenclature.  
Source:  WTO estimates based on data provided by the Parties.  
 
3.1.3.1   Ecuador  
3.10.  Ecuador's tariff schedule has 15 categories providing for the elimination of tariffs, reduction 
by a margin of preference of the MFN rate (from 10% to 70%)7, tariff rate quotas (TRQs), and 
specific treatment for products subject to the Andean p rice band system. The price band (based on 
international reference prices applied to MFN imports) is authorized under Article 2.9 and applied on 
198 tariff lines (some of which will be fully liberalized under the Agreement). A final category relates 
to pro ducts excluded from tariff commitments.  
3.11.  Chart 3.3 shows Ecuador's tariff liberalization by HS section. Agricultural products in HS 
Sections I -IV as well as some chemic als and textiles in Sections VI and XI remain dutiable for imports 
from all EFTA States. The highest percentage of products remaining dutiable are for prepared 
foodstuffs of Section IV. Ecuador's average final average tariff for products remaining dutiable  varies 
 
7 The margins of preference are: 8 lines for Iceland at 30%; 17 lines for Norway at 10%, 20% or 30%; 
and 11 lines for Switzerland at 20%, 25%, 30% or 70%.  
0% 110% 220% 330% 440% 550%3835232221201918171615121110080706040201
MFN Preferential=MFN Preferential*
**
0% 10% 20% 30% 40% 50% 60%HS
ChapterIceland Norway
Average applied tariff****
**
WT/REG463/1  
 
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  from 6.4% (textiles in Section XI) to 30.7% (for imports from Iceland of animals and their products 
in Section I).  
Chart 3.3 Ecuador: Tariff elimination under the Agreement, by HS Section  
 
Source:  WTO estimates based on the data provided by Ecuador.  
 
3.12.  At the HS chapter level, Ecuador will continue to apply duties on 30 Chapters at the end of 
the Agreement's implementation, with no preferential treatment given in 18 of them (Chart 3. 4). 
Ecuad or grants preferential treatment to all EFTA Parties for imports under Chapters 2, 4,10, 11, 
15, 18, 19 and 23, and for some of them in Chapters 17 and 20 -22. Average preferential tariffs 
range between 13.4% (for beverages imported from Iceland, Chapter 22 ) and 40.3% (meat 
imported from Norway, Chapter 2). For five chapters, the average preferential rate will be lower 
than the average MFN rate – 15, 18, 19, 21 and 22. The price band is applied to products in Chapters 
02, 04, 10 -12, 15 -17, 19, 23, 35, 38;8 in Chapter 35, the two lines remaining dutiable are subject 
to the price band mechanism. Among the Chapters where no preferential treatment is provided, 
preparations of meat and fish (Chapter 16) remain subject to the highest MFN rate.  
 
8 For the 198 tariff lines subject to the price band, 3 will become duty -free for imports f rom Iceland 
in 2029, 7 for Norway - 2 in 2024 and 5 in 2029; and 5 for Switzerland – 4 in 2029 and 1 in 2034.  
0%5%10%15%20%25%30%35%ISL
NOR
CHE
ISL
NOR
CHE
ISL/CHE
NOR
ISL
NOR
CHE
EFTA
ISL/NOR
CHE
EFTA
EFTA
EFTA
EFTA
EFTA
EFTA
EFTA
EFTA
EFTA
EFTA
EFTA
EFTA
EFTA
EFTA
EFTA
I II III IV V VI VIIVIII IX XXIXIIXIIIXIV XVXVIXVIIXVIII XIX XXXXI0%20%40%60%80%100%
Avg. tariff rate
HS Section and PartnerTariff lines
Free MFN, 2020 Free 2020 Free 2024-2036 Remain Dutiable Avg. Final dutiable tariff (right axis)WT/REG463/1  
 
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  Chart 3.4 Ecuador -EFTA: Average of dutiable rates, by HS Chapter  
 
* Lines subject to the price band mechanism; no preference in place.  
** Fewer number of lines remaining dutiable for Switzerland.  
Source:  WTO estimates based on data provided by Ecuador.  
 
3.1.4   Tariff rate quotas  
3.13.  Ecuador grants  to Switzerland an annual TRQ of 140 ton nes on a duty -free basis for cheese 
under six tariff lines , five of which are subject to  the price band .9 
3.14.  Of the EFTA Parties, only Switzerland  grants TRQs to Ecuador. These are not new TRQs but 
preferential in -quota rate s within Switzerland's WTO TRQs ; they are granted for meat and edible 
offal, dairy products, eggs, bovine semen, cut flowers, potatoes, fresh and frozen vegetables, fruits 
and seed fruit products, grape juice, bread grains and coarse grains for human consumption. 
Preferential treatment amounts to either duty -free rates or a margin of preference  of the MFN tariff  
(Annex 2 to this document provides additional detail s). There is no specific quantity allocated to 
Ecuador, imports being thus only limited to the WTO TRQ quantity limitations. For all the TRQs, the 
out-of-quota rates are the MFN rates.10 
3.2  Rules of origin  
3.15.  Rules of origin are regulated by Article 2.4 and Annex I . A revised Annex I was agreed by the 
Joint Committee on 14 December 2021; as of mid-April 2023 , it had not yet entered into force.  
3.16.  Goods not whol ly obtained are originating if they have been sufficiently worked or processed 
in a Party, in accordance with one of the following methods:  
a. a change of tariff classification (CTC), normally at the heading level  for most products ;  
 
9 No applications have been received by Ecuador for the use of  the TRQ. 
10 The most recent information concerning quota fill can be found at Switze rland’s notifications under 
the Agreement on Agriculture , documents  G/AG/N/CHE/119 and G/AG/N/CHE/113 . Overall, the average fill 
rate for 2020 and 2021 was 85% and 83.8%  respectively.  
0%5%10%15%20%25%30%35%40%45%
ISL
NOR/CHE
ISL
NOR
CHE
ISL
NOR
CHE
ISL
NOR
CHE
ALL
ALL**
ISL/NOR
CHE
ISL
NOR
CHE
ISL/CHE
NOR
ALL
ISL
NOR
CHE
ISL
ALL**
ISL/CHE
NOR
ALL
ISL
NOR
CHE
ISL/NOR
CHE
ISL
NOR
CHE
ISL
NOR
CHE
ISL
NOR
CHE
ISL
NOR
CHE
ISL
NOR
CHE
ISL/NOR
ALL
ISL/NOR
ALL*
ALL
ALL
ALL
ALL
1 2 4 5 67 8 9 10 11 12 1314 15 16 17 18 19 20 21 22 23 2429333550515253Average tariff rateHundreds
HS ChapterPreferential Preferential=MFN MFNWT/REG463/1  
 
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  b. in a fewer cases – and generally as an alternative to the CTC  - an import content 
requirement set in terms of the maximum value of non -originating materials11 – either at 
40%, 50% , 55%, 60% or 65% ; and 
c. for textiles of Chapters 61 -63, an alternative method requiring some manufacturing 
operation.  
3.17.  Both the absorption principle - no account is taken of non -originating materials incorporated 
in another product which has acquired originating status – and a de minimis /tolerance rule apply. 
The tolerance is set at 10% of the ex -works price of the product, provided none of the percentage 
thresholds are exceeded ; for textiles in Chapters 50 to 63, the 10% tolerance refers to the maximum 
weight of non -originating fibres and yarns in respect of th e total weight of the product .  
3.18.  In addition to  bilateral cumulation, diagonal cumulation is authorized with Ecuador's Andean 
Community partners, Colombia and Peru.  A rendez -vous clause provides for cumulation provisions 
to be reviewed no later than four ye ars after the Agreement's entry into force – i.e. by October  2024. 
As of June 2023 that ha d not yet been addressed.12  
3.19.  Outward-processing is not authorized under the Agreement.  
3.3  Export duties and charges, and quantitative restrictions  
3.20.  Export duties on mutual trade are not authorized under the Agreement (Article 2.3). The 
GATT  1994 disciplines on the general prohibition of quantitative restrictions (QRs) are incorporated 
into the Agreement mutatis mutandis . The Parties do not apply expor t duties on an MFN basis.  
3.4  Regulatory provisions on trade in goods  
3.4.1   Standards  
3.21.  The Agreement's disciplines on both sanitary and phytosanitary measures (SPS) and technical 
barriers to trade (TBT) build upon the relevant WTO Agreements , which are incorporated i nto the 
Agreement, mutatis mutandis .  
3.22.  In both cases, these are complemented by additional procedural disciplines , which provide for 
consultations to take place (within 30 days) in case a SPS or TBT measure is likely to create or has 
created an obstacle to trade. The Joint Committee shall be informed thereof. Other standards -related 
additional disciplines are summarized in the two sub -headings below.  
3.23.  Neither harmonization nor mutual recognition of SPS or TBT measures are made mandatory 
under the Agreement.  
3.4.1.2   Sanitary and phytosanitary measures  
3.24.  Additional substantive SPS disciplines (Article 2.12) include:  
a. risk assessment , rejection and detention of products at the border, with emphasis placed 
on scientific justification;  
b. prohibition on goods subject  to random  and routine  checks  being detained  at the border 
pending test results;  
c. upon request, to negotiat e the extension to each other of SPS treatment equivalent to 
that in force between each Party and the European Union. A footnote clarifies that 
"equivalen t" is not to be understood as "equivalence" ; and 
 
11 The value of a non -originating material can be averaged over a one -year period.  
12 In December 2021 the Parties decided to address this issue at the following meeting of the Sub -
Committee on Trade in Goods; the date has yet to be set. WT/REG463/1  
 
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  d. a best endeavour clause regarding the  development of agreements /arrangement on SPS 
between the Parties ;  
3.4.1.3   Technical barriers to trade  
3.25.  Additional substantive TBT disciplines (Article 2.11) provide that : 
a. the Parties shall ensure that all adopted technical regulations are officially published ; and  
b. upon request, the Parties shall negotiate to extend each other  an equivalent preferential 
treatment agreed between each Party and a third -party. The Parties shall immediately 
enter into consultations if an y unilateral preferential treatment granted to a non -Party 
creates competitive disadvantages.  
3.4.2   Safeguard mechanisms  
3.4.2.1   Global safeguards   
3.26.  Disciplines on global safeguards (Article 2.16) are those of Article XI X of the GATT 1994 and 
the WTO Agreement on Safeguards , modified by a best endeavour clause that foresees  exclusion  of 
imports  of an originating  product  from one or several Parties if such imports do not cause or threaten 
to cause serious injury . 
3.4.2.2   Bilateral safeguards  
3.27.  Bilateral safeguards may be imposed any product originating in a Party if the tariff reductions 
under the Agreement have caused or threatened to cause se rious injury to the domestic industry. 
In summary , in accordance with  Article 2.17:  
a. safeguard measures are to be taken to the minimum extent necessary to address the 
injury ; 
b. the measure shall be immediate ly notified, and in any case before it is taken;  
c. the measure may consist of the suspension of further tariff reductions foreseen  or 
increasing the tariff to the lesser of the MFN rate at either the time of imposition of the 
safeguard or the day before the entry into force of the Agreement;  
d. it may be taken for a maximum duration of two years  and in very exceptional 
circumstance s, three years. The measure may be reimposed once , provided a minimu m 
one-year interval is respected;  
e. detailed rules on compensation  are provided for. I n the absence of an ag reement, 
compensatory action is authorized ; however such  a right shall not be exercised for the 
initial two years during which the safeguard measure is in effect ; and  
f. provisional safeguard measures, of a maximum duration of 200 days, may be take in 
critica l circumstances.  
3.28.  These disciplines are to be reviewed within five years from entry into force  of the Agreement ; 
thereafter, if the Parties decide to maintain the possibility of imposing safeguards, biennial reviews 
are to take place in the Joint Committee.  
3.4.2.3   Special safeguards  
3.29.  There are no provisions on special safeguards in the Agreement.  WT/REG463/1  
 
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  3.4.3   Anti-dumping and countervailing measures  
3.30.  The disciplines on anti -dumping measures (Article 2.15) are those of Article VI of the GATT 
1994 and of the WTO Anti -Dumping Agreem ent, modified as follows:  
a. an "immediate" written notification obligation and the establishment of a 30 -day 
consultation period following the receipt of an application before the initiation of an 
investigation ; 
b. stricter disciplines regarding anti -dumping du ties, namely a sunset provision after five 
years of application; a minimum of one year between the termination of an anti -dumping 
measure or a negative determination and the initiation of an investigation with regard to 
the same product; and taking into ac count all individual margins, whether positive or 
negative, when calculating anti -dumping margins ; and  
c. a best endeavour provision (in the RoU) to refrain from initiating procedures (in particular 
against goods exported by micro, small and medium -sized enterprises ) "in favour of  
constructive remedies ".13 
3.4.4   Subsidies and State -aid 
3.31.  The disciplines on subsidies and countervailing measures (Article 2.14) are those of Articles  VI 
and XVI of the GATT 1994 and of the WTO Agreement on Subsidies and Countervailing Measures, 
modified to incorporate notification and consultation requirements similar to those under 
paragraph  3.30.  a above   
3.32.  Agricultural export subsidies are forbidden on trade in originating goods benefitting from tariff 
concessions  (Article 2.10) . In case of non -compliance, the other Party may increase the tariff to the 
MFN rate and notify the other Parties within 30 days.  
3.4.5   Customs -related procedures  and trade facilitation  
3.33.  Customs related provisions, including administrative cooperation in customs matters, are 
governed by Article 2.4 and Annex I of the Agreement. These are summarized in Table 3.2. below.  
Table 3.2 Summary of Customs procedures  
Subject  Agreement's Provisions  
Proof of origin  Movement c ertificate or  an Origin d eclaration, both of which:  
• Have a prescribed format14 
• Are valid for 12 months from the date of issuance  
Certificate of Origin  EUR.1, issued by the customs authorities of the exporting Party 
Declaration of Origin  Origin declaration , self-issued by : 
• an approved exporter , or 
• an exporter from Ecuador for consignment s of a value not exceeding 
EUR 6,000 , or 
• an EFTA exporter  
Approved exporters  Yes (Article 20 of Annex 1) . Self-declaration.  
Waiving of proof of origin  Imports of low value shipments between natural persons.  
Travellers' personal items.  
Thresholds have been set  by the Parties  in their domestic laws .15  
 
13 This is neither defined nor elaborated.  
14 The certificate can be found at https://www.efta.int/sites/default/files/documents/legal -texts/free -
trade -relations/ecuador/efta -ecuador -appendix -2-to-annex -I-rules-of-origin.pdf  and the text of the declaration 
at https://www.efta.int/sites/default/files/documents/legal -texts/free -trade -relations/ecuador/efta -ecuador -
appendix -3-to-annex -I-rules-of-origin -origin -declaration.pdf .  
15 Switzerland  https://www.bazg.admin.ch/bazg/en/home/documentation/regulations/circulars ---free-
trade -agreements --origin -.html ; Norway  https://lovdata.no/dokument/SFE/forskrift/2022 -10-27-
1938/KAPITTEL_3#%C2%A74 -1-4; Iceland  https://www.skatturinn.is/media/efni -med-
greinum/Customs_law_11_3_2015.pdf ; Ecuador https://www.aduana.gob.ec/envios -courier -postal/  y 
https://www.aduana.gob.ec/viajeros -por-via-aerea/ . WT/REG463/1  
 
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  Subject  Agreement's Provisions  
Verification procedures   By the exporting Party 's competent authorit y. 
Inspection of the exporter's accoun ts or any other appropriate control . 
Within  12 months ; three -month extension subject to a justified request . 
On-site verification  Not foreseen  
Penalties  Article 32  of Annex I. Either criminal, civil or administrative penalties may be 
imposed.  
Source:  Annex I of the Agreement.  
 
3.34.  Trade facilitation disciplines are set out in Annex VII , as per Article 2.13 . Disciplines  in addition 
to those of the WTO Trade Facilitation  Agreement  (TFA) include :  
a. extending advanced ruling to issues covered only in a best endeavour manner in the TFA, 
such as to the applied rate of duty, method for determining the customs value  and rules 
of origin;  
b. some of the TFA 's best endeavour provisio ns are made mandatory – e.g. electronic 
payment of duties and taxes, and allowing the movement of goods among customs offices ; 
c. allowing an importer to arrange for proper storage of perishable goods. That right is also 
foreseen in the TFA but could be revok ed if a Party arranges for such storage;  
d. a stronger commitment for performing customs control s outside of business hours , if 
requested by a trader for a valid reason and subject to the availability of resources  (under 
the TFA  this applies in exceptional circumstances and only with respect to perishable 
products) ;  
e. reinforcing that risk management shall be applied with a view to facilitate trade;  
f. Parties shall "aim at  concluding " mutual recognition agreements in case Parties op erate a 
system of authorized economic operators system  (under the TFA, Members "shall afford 
… the possibility of negotiating" such agreements) ; 
g. prohibition of mandatory use of customs brokers;   
h. additional disciplines on fees and charges, including a prohibition on their  calculat ion on 
an ad valorem  basis; 
i. prohibition o n requiring legalisation or other authentication of documentation related to 
importation ; and  
j. right to both administrative and judicial appeal while under the TFA these rights apply to 
either or both . 
3.4.6   Other regulations  
3.35.  There are no other regulations in addition to those above.  
3.5  Sector -specific provisions on trade in goods  
3.36.   Other than the t reatment granted by the EFTA Parties to marine and fish products, 
agricultural and processed agricultural products (summarized in paragraph  3.7.   above above ) there 
are no other sector -specific provisions on trade in goods .  
4  PROVISIONS ON TRADE IN SERVICES  AND INVESTMENT  
4.1  Scope and definitions  
4.1.  The coverage of Chapter 3 on trade in services is similar to that of the GATS, both in terms of 
sectoral scope, modes of supply and the exclusion of government procuremen t. Its disciplines are WT/REG463/1  
 
- 17 - 
 
  complemented by the Parties' specific commitments and exemptions in  Annex es IX and X and sector -
and mode -specific provisions in Annexes XI -XIV. 
4.2.  Chapter 4 on establishment applies to commercial presence of services sectors not covered  by 
Chapter 3, i.e. establishment in non -services sectors such as agriculture, forestry, fishing and 
aquaculture, mining and quarrying, manufacturing and energy, excluding their services -related 
activities.  Its provisions are without prejudice to other inv estment  or taxation agreements concluded 
by any of the Parties , and are complemented by the Parties' lists of reservation  in Annex XV.  
4.3.  A number of GATS definitions in Articles I and XVIII a nd paragraph 6 of the GATS Annex on 
Air Transport Services are incorporated into the Agreement.  
4.4.  The Parties' rights to apply non -discriminatory measures for public interest purposes (for 
reasons such as health or environmental concerns) are reaffirmed in the  RoU as regards Chapter 3 
and in Article 4.6 as regards Chapter 4. The latter also includes a " not lowering standards " clause  - 
i.e. these should not be derogated or waived as an encouragement for the establishment, acquisition, 
expansion or retention in i ts territory of a commercial presence .   
4.2  Denial of benefits  
4.5.  The Agreement does not contain a specific provision on denial of benefits. However, the 
definition of "juridical person of another Party" refers to "a juridical person which … is engaged in 
substa ntive business operations in the territory of a Party …". 
4.3  General provisions on trade in services  
4.3.1   Market access  
4.6.  Market access disciplines are those of GATS Article XVI which is incorporated into the 
Agreement (Article 3.5). 
4.3.2   National treatment and MFN  
4.7.  Nation al treatment disciplines are those of GATS Article XVII which is incorporated into the 
Agreement (Article 3.6).  
4.8.  MFN disciplines (Article 3.4) are similar to those under GATS Article II. Moreover, preferential 
treatment granted by a Party under an economic integration agreement notified under GATS Articles 
V or V bis shall not be extended to the other Parties. Upon request negotiations for extending such 
benefits shall take place.  
4.9.  National treatment also applies for commercial presence in non -services sector s, subject to 
reservations by the Parties (Article 4.3). MFN treatment does not apply to these sectors.  
4.3.3   Commercial presence  
4.10.  Commitments on commercial presence – equivalent to mode 3 under the GATS - are set out 
in the Parties' schedules of commitments, subject to their respective MFN exemptions. For non -
services sectors commercial presence is regulated by Chapter 4.  
4.3.4   Movement o f natural persons  
4.11.  Article 3. 10 and Annex XIII of the Agreement build on the GATS Annex. The scope and 
principles used in both agreements are similar, including on the right of the Parties to require a 
visa.16 Mode 4 commitments – horizontal and/or sector -specific - are included in the Parties 
Schedules.  
 
16 E.g. access to  the employment market and right of residence is carved out, and the right of entry for 
natural persons of the other Party, including by establishing eligibility requirements, is autho rized provided 
they are not applied in a manner that nullifies or impairs the Agreement's benefits.  WT/REG463/1  
 
- 18 - 
 
  4.12.  Disciplines emphasize the need for information and procedures for entry, temporary stay and 
work to be transparent, secure, effective and comprehensive. Information to be made publicly 
available is clearly specified. Applications – including information on outcome s and, upon request, 
on its progress - shall be processed expeditiously and without undue delays . The r ight of appeal  is 
not specified .  
4.13.  Table 4.1 below summarizes the categories and lengths of stay for the presence of natural 
persons under the Agreement and the GATS for the Parties, which only apply to sectors listed in 
their Schedules and in accordance with any limitation that may be included therein. Compared to 
the GATS, improvements are made by Ecuador, Norway and Switzerland, in particular, adding new 
categories of personnel such as busines s visitors and longer authorized lengths of sta y. 
Table 4.1 Categories and length of stay for temporary presence of natural persons under 
the Agreement and the GATS  
Category  Maximum length of stay  
Agreement  GATS  
Ecuador  
Business services sellers  90 days within 12 months  No commitments  
Contractual services suppliers  
(CSS)  6 months (cumulative) within 12 -
month period, or duration of the 
contract, whichever is less.   No commitments  
Intra-corporate Transferees (I CTs): 
Managers and specialists  2 years, extendable by 1 year  In accordance with domestic 
legislation  
Business visitors  6 months  No commitments  
Installers and maintainers  3 months per contract  No commitments  
Iceland  
A. ICTs: Executives, managers, 
specialists and service sellers  No labour market test.  
No duration specified.  
Liechtenstein  
ICTs: Executives, senior managers, 
specialists  3 years  
Norway  
ICTs:  Executives, managers, 
specialists  4 years  2 years  
Business visitors 3 months  
No economic needs test . No commitments  
CSS 
Independent professionals  3 months within  12-month period , or 
duration of the  contract, whichever is 
less. 
No economic needs test . No commitments  
Switzerland  
ICTs: Executives, senior managers, 
specialists  3 years, extendable to 5  3 years, extendable to 4  
Business visitors  
Services salespersons  
90 days within 1 year. Minimum 2-
month interval prior to renewal.  
 3 months within 1 year, 
minimum 2 -months interval if 
renewed  
CSS 3 months per contract . 
Numeric limitation linked to 
task to be performed .  
Available for 3 services sectors  
Other/Installers and maintainers  No commitments . 
Source:  Section on "Horizontal commitments" of Parties' Schedules (Annex IX)  and their Draft Consolidated 
GATS Schedule of Specific Commitments.  
 
4.14.  Mode 4 disciplines in relation to commercial presence in non -services sectors are regulated 
by Article 4.5 , which includes disciplines regarding:  
a. temporary entry and stay of natural pers ons of another Party and of key personnel 
employed by natural or juridical persons of another Party; and  WT/REG463/1  
 
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  b. employment, by natural or juridical persons of another Party and their commercial 
presence, of key personnel of the natural or juridical person’s choic e regardless of 
nationality and citizenship . 
4.15.  Obligations under Article 4.5 are subject to the Parties' domestic laws and regulations, 
including reservations listed in Annex XV.  
4.4  Liberalization commitments   
4.16.  Liberalization of trade in services follows the GATS positive list approach. The Schedules of 
specific commitments, which may be modified upon agreement among the Parties, are set out in 
Annex IX to the Agreement (Articles 3.18 and 3.19). A rendez -vous cla use provides for a three -year 
periodic review aimed at improving liberalization (Article 3.20).  As of June 2023, that ha d not been 
done. 
4.17.  Liberalization of commercial presence in non -services sectors follows a negative approach, 
with reservations listed in Annex XV (see Section 4.5.5).  
4.18.  Commitments by EFTA Parties in financial services are in accordance with the WTO's 
Understanding on Commitments in Financial Services (hereafter "the Understanding"); that is not 
the case for Ecuador.  
4.19.  The sections below review  the Parties'  liberalization under the Agreement vis -à-vis that 
committed under the GATS. The comparison of specific commitments is summarized in Part ies' 
specific tables , which includ e modes 1 -3 only and exclud e horizontal reservations.  Table 4.2 shows 
sectors in which the Parties' commitments are the same as in their GATS commitments (either fully 
liberalized or excluded), while the following sections present only the sectors in which different 
commitments are made under the Agreement than under the GATS.   
Table 4.2 Sectors having the same commitments under the GATS and Agreement specific 
(modes 1 -3) 
Sectors with same commitments  
under the GATS and the Agreement  ECU EFTA  
ISL LIE NOR CHE 
Excluded  
All communication except telecommunication s    a  
Construction & related engineering       
Education       
Health  related & social   b     
Transport       
   Maritime       
   Internal waterways       
   Air      
   Space       
   Rail        
   Pipeline       
   Other       
Other services       
Fully liberalized  
Construction & related engineering   c    
Environmental       
a Partial commitments also undertaken in courier services.  
b GATS commitments for h ospital services. The entire sector is excluded  under the Agreement.  
c Only partial commitments under "other".  
Note:  Excluded or liberalized sectors are in dark grey; where this  is not the case for any sub-sector, the 
cell is lighter grey.  
  WT/REG463/1  
 
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  4.4.1   EFTA State s 
4.20.  All EFTA Parties have undertaken horizontal limitations on subsidies.  
4.4.1.1   Iceland  
4.21.  The Agreement lifts the  GATS horizontal equity limitation of 25% for foreign investment. All 
other horizontal limitations and MFN exemptions are similar under the Agreemen t and the GATS.  
Table 4.3 Iceland: Specific commitments under the Agreement that differ from those 
under the GATS (modes 1 -3)  
Sectors / Sub -sectors  GATS  Compared 
to GATS  FTA 
1. Business services     
A. Professional  services  Partial  Improved  Partial  
C. Research  and development  services  Partial  Improved  Partial  
D. Real  estate  services  Partial  Improved  Partial  
F. Other  business  services  Partial  Improved  Partial  
3. Construction and related engineering services  
E. Other  --- Improved  Partial  
4. Distribution services     
E. Other  Partial  Less --- 
6. Environmental services     
All sub-sectors A -D Partial  Improved  Partial  
7. Financial services    
A. All insurance  and insurance -related  services  Partial  Different  Partial  
B. Banking  and other  financial  services  Partial  Different  Partial  
10. Recreational and cultural and sporting services  
B. News agency services  Partial  Improved  Full 
E. Other  Partial  Less --- 
11. Transport services     
A. Maritime transport services  Partial  Improved  Partial  
C. Air  transport  services  Partial  Improved  Partial 
I. Other  transport  services  Full Less --- 
12. Other services n.i.e.  --- New Partial  
Note:  Horizontal reservations and Mode 4 commitments/limitations not included.  
Definitions:  Full: Commitments not subject to any sector -specific limitation, and all sub -sectors covered.  
  Improved: Overall improved commitments under the Agreement compared to tho se under  the 
 GATS.  
  Less: Overall fewer commitments under the Agreement compared to those under the GATS.  
  New: Commitments in a sector not committed under the GATS.  
  Partial: Commitments subject to one or more sector -specific limitation, or not all s ub-sectors 
 covered.  
  Different: Limited improvements and/or limited additional reservations.  
  ---: No commitment.  
Source:  Draft Consolidated GATS Schedule of Specific Commitments (S/DCS/W/ISL/Rev.1) and Appendix 2 
to Annex IX to the Agreement.   
 
4.22.  In ad dition to the sectors listed in Table 4.2, only the sub -sector other tourist services are 
fully excluded under both the GATS and the Agreement.  
4.23.  Fully liberalized sub -sectors under both instruments (also in addition to those of Table 4.2) 
are all construction and related engineering services except "other ;" and tourist guide services . 
4.24.  Out of the five sectors/sub -sectors reserved to nationals under the GATS that are opened 
under the Agreement, three are energy -related - advisory services incidental to energy distribution, 
construction and related engineering services for geothermal relat ed services and energy -related WT/REG463/1  
 
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  services incidental to geothermal energy. The two other s are news agency services and freight 
forwarding services related to maritime transport.  
4.25.  Commitments on c ommunication services and education services are identical unde r both the 
Agreement and the GATS; they remain largely closed to foreigners. The same applies for distribution 
services except for "other"  services , which are free under the GATS but no commit ments are made  
under the Agreement.  
4.26.  While most of Iceland's com mitments in business services under the Agreement are identical 
to those under the GATS, some improvements have been made. Residency requirements for 
accountants, nationality or residency requirements for newspaper publishing, the need for a permit 
for und ertaking R&D services in natural sciences, as well as mode 3 requirements for real estate 
services on a fee or contract basis , have all been lifted. The coverage of the commitments is mostly  
similar to the GATS, with only one subsector  added  – advisory ser vices incidental to energy 
distribution which are  fully liberalized.  
4.27.  Liberalization of all environmental services under the Agreement is improved compared to the 
GATS, with advisory services for all sub -sectors liberalized  for mode 1 and GATS mode 3 requi rement 
for a license for environmental operations  lifted.  
4.28.  Largely building upon its GATS commitments, Iceland's commitments in financial services in 
the Agreement are adjusted and partly rephrased to take into account its bilateral character. The 
coverage  and extent of the commitments are similar to those under the GATS.  
4.29.  News agency services under recreational and cultural and sporting services ha ve been fully 
liberalized for modes 1 -3 with the removal of the GATS requirement of an authorization for 
manage ment positions. Mode 4 remains unbound except as per the horizontal measures.  
4.30.  Liberalization of maritime transport services is improved under the Agreement as compared 
to the GATS, with full liberalization of modes 1 -3 for freight forwarding services. All  air transport 
services sub -sectors within the scope of the GATS are liberalized, with the exception of mode 1 for 
maintenance and repair; under the GATS, restrictions apply for modes 1 and 3 in sales and marketing 
and computer reservation systems. Finally , other transport services for which Iceland makes not 
commitments under the Agreement, are fully liberalized under the GATS.  
4.31.  On other services not indicated elsewhere ( n.i.e.), Iceland fully liberalize s modes 1 -3 for 
energy -related services incidental to geothermal energy.  
4.4.1.2   Liechtenstein  
4.32.  Contrary to trade in goods, the trade in services regime of Liechtenstein is independent from 
that of Switzerland.  
4.33.  Four of its GATS MFN exemptions are lifted under the Agreement – namely on distribution 
services, financial services as well as computer reservation systems  and sales and marketing of air 
transport services. All other GATS MFN exemptions (e.g. on audiovisual services and access to the 
labour market) are maintained.  
4.34.  Some of the GATS mode 3 horizontal limitations are relaxed  for Ecuadorian  services suppliers:  
a. for commercial presence by an individual, the GATS requirement of government -
recognized professional qualifications is lifted;  
b. for commercial presence by a juridical person, prior residenc e is only required fo r one 
manager (GATS requirements are for the majority of administrators and associates);  and 
c. the GATS prohibition o n the acquisition of real estate by non -residents is lifted, though 
prior residence requirements remain.  WT/REG463/1  
 
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  4.35.  For trust companies, at least one ma nager must be a licensed trustee in Liechtenstein and 
work full -time for the company. Other GATS horizontal limitations on extending EEA benefits to third -
parties, real estate and mode 4 are replicated under the Agreement.  
4.36.  Sectoral commitments under the Agreement and the GATS (modes 1 -3, horizontal 
reservations excluded) are presented in Table 4. 4. 
Table 4.4 Liechtenstein: Specific commitments under the Agreement that differ from those 
under the GATS (mod es 1-3) 
Sectors / Sub -sectors  GATS  Compared 
to GATS  FTA 
1. Business services     
A. Professional  services  Partial  Improved  Partial  
E. Rental/leasing  services  without  operators  Partial  Improved  Partial  
F. Other  business  services  Partial  Improved  Partial  
2. Communication services     
C. Telecommunication  services  Partial  Improved  Full 
4. Distribution services     
B. Wholesale trade services  Partial  Improved  Partial  
C. Retailing services  Partial  Improved  Partial  
5. Education services     
E. Other education services  --- Improved  Partial  
7. Financial services    
A. All insurance  and insurance -related  services  Partial  Improved  Partial  
B. Banking  and other  financial  services  Partial  Improved  Partial  
9. Tourism and travel related services     
A. Hotels  and restaurants (including catering)  Partial  Improved  Partial  
Note:  Horizontal reservations and Mode 4 commitments/limitations not included.  
 Definitions in accordance with those of Table 4. 3. 
Source:  Draft Consolidated GATS Schedule of Specific Commitments (S/DCS/W/LIE) and Appendix 3 to 
Annex IX to the Agreement . 
 
4.37.  In addition to the sectors listed in Table 4.2, the foll owing sub -sectors are excluded under 
both the GATS and the Agreement: real estate; all constr uction and related engineering; other 
distribution services; other tourist services; entertainment services; libraries, archives etc.; and 
other recreational, cult ural etc.  
4.38.  Fully liberalized sub -sectors under both instruments (also in addition to those of Table 4.2) 
are franchising; travel agencies and tour operator services; and news agency services.  
4.39.  Most of the commitments in business services under the Agreement are identical to those 
under the GATS. Improvements are made for mode 3 in accounting and auditing and taxation 
services, as well as maintenance and repair of equipment. The coverage of the commitments has 
been extended to also cover rental/leasing service s concerning personal and household goods and 
translation and interpretation services – fully liberalized for modes 1 -3 except for translation for 
official purposes.  
4.40.  In communication services, basic telecommunications services have been opened up and thus  
the whole telecommunications sector is free for modes 1 -3. All other sub -sectors remain not 
committed under the Agreement.  
4.41.  In distribution services, liberalization of wholesale trade and retail services is improved 
compared to that under the GATS as rest rictions on the sales area have been lifted. Distribution of 
certain products – pharmaceuticals, weapons, etc. – remain restricted but retail sales of motor oil is 
liberalized for companies from Ecuador.  
4.42.  Commitments in education services are limited to pr ivate education under both the GATS, 
and the Agreement, subject to Liechtenstein's establishment requirements for  juridical persons. WT/REG463/1  
 
- 23 - 
 
  Under the Agreement, sectoral coverage has been extended to also open language tuition services 
to Ecuadorian  service suppl iers. 
4.43.  Under the Agreement, the establishment of insurance, banking and other financial institutions 
from Ecuador in Liechtenstein is facilitated as compared to the GATS. The prohibition on consumption 
abroad of insurance services under the GATS is lifted. Liberalization is also improved in banking and 
other financial services, with the lifting of market access restrictions on modes 1 and 2 in the GATS.  
4.44.  In tourism and travel related services, liberalization under the Agreement is improved 
compared to the GATS with the full liberalization of catering and the elimination of mode 3 limitations 
for hotels and restaurants.  
4.45.  Under both the GATS and the Agreement, the coverage and depth of Liechtenstein's 
commitments in transport services are the same – and limite d to road transport and services 
auxiliary to all modes of transport.  
4.4.1.3   Norway  
4.46.  Under the Agreement, Norway adds one MFN exemption – on domestic maritime transport - 
to those registered under the GATS; it has no commitments in domestic maritime transport unde r 
the GATS. All other MFN exemptions – Nordic co -operation in all sectors, Nordic and European 
cooperation in the audiovisual  sector, road transport and CRS and sales and marketing of air 
transport services - are the same as under the GATS.  
4.47.  Some of the GATS horizontal limitations are relaxed under the Agreement:  
a. national treatment accorded to subsidiaries is extended to branches  or agencies 
established in an EEA or an EFTA member State by a company from Ecuador (not the 
case under the GATS);  
b. limitations on investment in real estate have been lifted;  
4.48.  Conversely, the GATS unbound nature of subsidies in mode 3 for R&D is extended under the 
Agreement to education services; for modes 1 and 2 the scope of the limitation is identical under 
both instruments.  
Table 4.5 Norway: Specific commitments under the Agreement that differ from those 
under the GATS (modes 1 -3) 
Sectors / Sub -sectors  GATS  Compared 
to GATS  FTA 
1. Business services     
A. Professional  Services  Partial  Improved  Partial  
D. Real  Estate  Services  Partial  Different  Partial  
E. Rental/Leasing  Services  without  Operators  Partial  Improved  Partial  
F. Other  Business  Services  Partial  Improved  Partial  
A. Commission agents' services  --- New Partial  
B. Wholesale trade services  Partial  Improved  Partial  
C. Retailing services  Partial  Improved  Partial  
5. Education services     
A. Primary education services  Partial  Less --- 
B. Secondary education services  Partial  Less --- 
C. Higher education services  Partial  Improved  Full 
D. Adult education  Partial  Improved  Full 
E. Other education services  Partial  Improved  Full 
6. Environmental services     
All sub -sectors A -D Partial  Improved  Partial  
7. Financial services    
A. All insurance  and insurance -related  services  Partial  Improved  Partial  
B. Banking  and other  financial  services  Partial  Improved  Partial  WT/REG463/1  
 
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  Sectors / Sub -sectors  GATS  Compared 
to GATS  FTA 
11. Transport services     
A. Maritime Transport Services  Partial  Improved  Partial  
C. Air  Transport  Services  Partial  Improved  Partial 
E. Rail  Transport  Services  Partial  Improved  Partial  
F. Road  Transport  Services  Partial  Improved  Partial  
G. Pipeline  Transport services  --- New Partial  
H. Services  auxiliary  to all modes  of transport  Partial  Improved  Partial  
12. Other services n.i.e.  ---   
Note:  Horizontal reservations and Mode 4 commitments/limitations not included.  
 Definitions in accordance with those of Table 4. 3. 
Source:  Draft Consolidated GATS Schedule of Specific Commitments (S/DCS/W/NOR) and Appendix 4 to 
Annex IX to the Agreement . 
 
4.49.  In addition to t he sectors listed in Table 4.2, the following sub -sectors are excluded under 
both the GATS and the Agreement: other distribution services; other tourist services; and all 
recreational, cultural etc. except news agency services.  
4.50.  Fully liberalized sub -sectors under both instruments (also in addition to those of Table 4.2) 
are all constr uction and related engineering; franchising; all tourism services except "other ";  and 
news agency services.  
4.51.  In business services, liberalization of professional services is improved inter alia including full 
liberalization of mode 1 for auditing by registered and licensed auditors (except for statutory audits 
of annual accounts) and by ext ending liberalization to all engineering services which is only the case 
for advisory and consultative services under the GATS. Comparing liberalization of real estate 
services is difficult given that the lifting of GATS mode 3 limitations is combined with  mode 1 
becoming unbound, while it is free under the GATS; coverage however remains identical. Coverage 
of rental/leasing services without operators has been extended to all other machinery and 
equipment. The coverage of other business services is also inc reased; only technical testing for 
public services functions and services incidental to energy distribution are not committed under the 
Agreement. Other newly committed services include convention services and translation and 
interpretation services.  
4.52.  All construction and related engineering services are free for modes 1 -3 under both the GATS 
and the Agreement. Mode 4 is further liberalized in the Agreement in particular with the lifting of 
residence requirements.  
4.53.   Commitments in distribution services are made for commission agent services, except for 
arms, alcohol and pharmaceutical products; there are no commitments in the GATS for this sub -
sector. Coverage is also expanded under the Agreement for wholesale trade services to include 
import and trade in fish and grain (excluded under the GATS). First hand sales of raw fish and the 
private import of alcohol are not covered  by the sector.  
4.54.  Under the GATS, education services are partially liberalized , with limitations on all services 
leading to the conferring of State recognized exams and/or degrees. Under the Agreement, the 
horizontal limitation on subsidies for mode 3 in edu cation services and full liberalization 
commitments in higher, adult and other education services provide s improved market access for 
such private institutions.  
4.55.  Liberalization of environment services is improved compared with the GATS. Advisory services 
for all environmental services sub -sectors are free under mode 1 , while under the GATS they are 
unbound . The monopoly on certain waste services and on control serv ices of exhaust -gas from cars 
and trucks is lifted.  The GATS carve -out of public service functions whether owned, operated or 
contracted out by local, regional or central government, is maintained under the Agreement.  
4.56.  In the Agreement, Norway replicates it s GATS commitments for insurance and insurance -
related services, while adding  national treatment for the provision of some banking and other 
financial services through commercial presence, as compared to commitments made under the WT/REG463/1  
 
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  GATS. In financial servic es, beyond GATS commitments, companies from Ecuador are authorized to 
supply insurance related to vessels for passenger and ocean fishing, offshore exploration or contracts 
with companies above a certain threshold of activity or sales. For mode 3, in certa in cases the 10% 
foreign equity limit in the GATS is increased to 25%, while some differences apply to senior 
managers and boards of directors. The same increased foreign equity threshold also applies to 
banking and other financial services. The sector als o benefits from the lifting of some establishment 
restrictions in securities and branches.  
4.57.  Under the Agreement liberalization of maritime services is improved as compared to the 
GATS, with partial liberalization of domestic freight transportation and pushi ng and towing services, 
for which there are no GATS commitments . Flexibility is increased with residency requirements 
extended to cover all EEA member States. Commitments are undertaken in ground handling for air 
transport services, which is unbound under the GATS. Maintenance and repair of aircraft and rail 
transport equipment is fully liberalized under mode 1. Road transport services are further liberalized 
with the removal of establishment requirements while economic needs tests remain. Pipeline 
transpor tation is partially covered, with establishment unbound. Cargo -handling services and 
storage and warehouse services to all modes of transport, not committed under the GATS, are fully 
liberalized for modes 2 and 3.  
4.4.1.4   Switzerland  
4.58.  Switzerland's MFN exemptions u nder the GATS covering distribution services, financial 
services, CRS and sales and marketing of air transport services are dropped under the Agreement. 
All other GATS MFN exemptions – on audiovisual services, internal waterways and road transport 
services  and on mode 4 in favour of Liechtenstein and the EU – are maintained.  
4.59.  Compared to the GATS, Switzerland's horizontal limitations for mode 3 under the Agreement 
are less restrictive than under the GATS, with nationality requirements for governing boards being 
lifted; the GATS domicile requirements are however maintained. Other limitations, including on real 
estate acquisitions by nationals and companies from Ecuador, are the same under both instruments.  
Table 4.6 Switzerland: Specific commitments under the Agreement that differ from those 
under the GATS (modes 1 -3) 
Sectors / Sub -sectors  GATS  Compared 
to GATS  FTA 
1. Business services     
A. Professional  Services  Partial  Improved  Partial  
B. Computer  and Related  Services  Partial  Improved  Full 
D. Real  Estate  Services  --- New Partial  
E. Rental/Leasing  Services  without  Operators  Partial  Improved  Partial  
F. Other  Business  Services  Partial  Improved  Partial  
3. Construction and related engineering services  
B. General construction work for civil engineering  Partial  Improved  Partial  
C. Installation and assembly work  Partial  Improved  Partial  
E. Other  Partial  Improved  Partial  
4. Distribution services     
A. Commission agents' services  Partial  Improved  Partial  
B. Wholesale trade services  Partial  Improved  Partial  
5. Education services     
E. Other education services  --- New Partial  
6. Environmental services     
All sub -sectors B -D Partial  Improved  Partial  
7. Financial services    
Sub-sectors A -B Partial  Improved  Partial  
9. Tourism and travel related services     
A. Hotels  and restaurants (including catering)  Partial  Improved  Partial  
C. Tourist  guides  services  Partial  Improved  Partial  
10. Recreational and cultural and sporting services  WT/REG463/1  
 
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  Sectors / Sub -sectors  GATS  Compared 
to GATS  FTA 
11. Transport services     
A. Maritime Transport Services  --- New Partial  
B. Internal Waterways Transport services  Partial  Improved  Partial  
C. Air  Transport  Services  Partial  Improved  Partial 
F. Road Transport  Services  Partial  Improved  Partial  
Note:  Horizontal reservations and Mode 4 commitments/limitations not included.  
 Definitions in accordance with those of Table 4. 3. 
Source:  Draft Consolidated GATS Schedule of Specific Commitments (S/DCS/W /CHE) and Appendix 5 to 
Annex IX to the Agreement . 
 
4.60.  In addition to the sectors listed in Table 4.2, the following sub -sectors are excluded under 
both the GATS and the Agreement: other tourist services; entertainment services; libraries, archives 
etc.; and other recreational, cultural etc  services . 
4.61.  Fully liberalized sub -sectors under both instruments (also in addition to those of Table 4.2) 
are all construction and related engineering; franchising; higher and adult education services; 
travel  agencies  and tour operators ; and news agency servi ces. 
4.62.  In business services, Switzerland builds on its GATS commitments and enlarges the scope of 
all sub -sectors. Under other business services, some subsectors are added – e.g. translation and 
interpretation – and the coverage of subsector s for which there  are GATS commitments,  is extended 
- e.g. all services incidental to fishing and manufacturing are fully liberalized while under the GATS 
only consultancy services  are liberalized . The depth of liberalization is also improved, e.g. with the 
removal of mode  3 limitations on architectural services. Finally, the GATS mode 4 horizontal 
commitments for contractual services suppliers are extended to three additional business services 
sectors, namely legal consultancy services for home country law and internationa l law, architectural 
services and urban planning services.  
4.63.  In construction services Switzerland builds on its GATS commitments to expand coverage for 
general construction work for civil engineering, special trade construction work and renting services 
related to construction equipment. Installation and assembly work related to communication and 
elevators, reserved for regional or local levels of government under the GATS, are liberalized for 
service suppliers from Ecuador, while remaining closed for other s ectors such as energy and water.  
4.64.  In distribution services, GATS mode 3 restrictions on sales areas applied at regional levels of 
government are lifted for commission agents' services  and for wholesale and retailing trade except 
in the case of large-scale f acilities.  Distribution of goods subject to import authorisation, and of 
pharmaceutical products, toxics, explosives, weapons and ammunition, and precious metals  remain 
restricted under both the Agreement and the GATS.  
4.65.  Commitments in education services are , like under the GATS, restricted to private education 
services and remain unchanged for most sub -sectors. Coverage is nevertheless expanded under 
other education services with the full liberalization of training in Spanish language.  
4.66.  In environmental services, commitments have been improved in all sub -sectors except 
sewage services. On refuse disposal services, garbage dump s, for which there are no mode 3 GATS 
commitments , have been liberalized while mode 1 for sanitation and similar serv ices and "other ", 
unbound under the GATS, has been fully liberalized.  The GATS carve -out of p ublic utilities , whether 
owned and operated by municipalities, cantons or federal government , or contracted , is maintained 
under the Agreement . 
4.67.  Largely based upon its GATS commitments, Switzerland's commitments in financial services 
are improved through the removal of some market access restrictions in modes 1 and 2 for both 
insurance (in areas such as cross -border aircraft liability insurance) and banking services for 
securities in Swiss francs. Reservations relating to investment in real estate for E cuadorian or 
Ecuadorian-controlled insurance companies and banks are the same as under the GATS.  WT/REG463/1  
 
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  4.68.  In tourism and travel related services, Switzerland lifts GATS market a ccess and national 
treatment limitations on commercial presence for hotels and restaurants, in particular the economic 
needs assessment for restaurant s. The GATS commercial presence requirement for mode 4 is 
maintained under the Agreement. Tourist guide se rvices are also further liberalized with the removal 
of the GATS restrictions on ski instructors whilst those for mountain guides are maintained.  
4.69.  Maritime transport services, unbound under the GATS, are partly covered under the 
Agreement - passenger and fr eight transportation, maintenance and repair of vessels), with some 
limitations. Commitments are also made for some maritime auxiliary services. In internal waterways 
transport, the GATS commercial presence requirement for mode 4 is lifted. In air transpor t services, 
liberalization of the only covered sub -sector - maintenance and repair – is improved compared to 
the GATS with mode 2 being fully liberalized. The coverage for road transport services is improved 
compared to Switzerland's GATS commitments with all sub -sectors – in particular freight 
transportation - at least partially liberalized.  
4.4.2   Ecuador  
4.70.  Ecuador's GATS MFN exemptions cover audiovisual services, all of which are replicated under 
the Agreement. Besides, Ecuador has listed a new exemption on land  transport which allows the 
granting of preferential treatment to countries parties to the Andean Road Freight System.17  
4.71.  Ecuador has listed numerous horizontal limitations, which are summarized in the table below. 
Of these, only that relating to categorie s of personal, referred to under Section 4.3.4, is included 
under the GATS. Sectoral commitments that differ from those under the GATS are presented in Table 
4.8. 
Table 4.7 Ecuador: Horizontal Reservations in Annex IX  
Subject  Reservation  
Essential security  Modes 1 -4 
Social Economy  Modes 1 -4 
Cultural heritage and natural heritage  Modes 1 -4 
Publishing industry  Modes 1-4 
Strategic sectors and public services - investment and supply of services  Modes 1 -3 
Tax Arrangements  Modes 1 -3 
Recruitment of foreign workers  Modes 3 -4 
Legal representation  Mode 3  
Land or water ownership  Mode 3  
Movement of natural persons – categories of personal  Mode 4, see table 4.1  
Source:  Appendix 1 to Annex IX to the Agreement.  
Table 4.8 Ecuador: Specific commitments under the Agreement that differ from those 
under the GATS (modes 1 -3) 
Sectors / Sub -sectors  GATS  Compared 
to GATS  FTA 
1. Business services     
A. Professional  Services  Partial  Different  Partial  
B. Computer  and Related  Services  Partial  Improved  Partial  
D. Real  Estate  Services  --- New Partial  
E. Rental/Leasing  Services  without  Operators  Partial  Different  Partial  
F. Other  Business  Services  Partial  Different  Partial  
2. Communication services     
C. Telecommunication  services  Partial  Less Partial  
3. Construction and related engineering services  
A. General construction work for buildings  --- New Partial  
B. General construction work for civil engineering  --- New Partial  
E. Other  Partial  Improved  Full 
4. Distribution services     
A. Commission agents' services  --- New Full 
 
17 Colombia, Ecuador, Plurinational State of Bolivia, Peru.  WT/REG463/1  
 
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  Sectors / Sub -sectors  GATS  Compared 
to GATS  FTA 
B. Wholesale trade services  Partial  Improved  Full 
C. Retailing services  --- New Full 
D. Franchising  --- New Full 
7. Financial services    
A. All insurance  and insurance -related  services  Partial  Improved  Partial  
B. Banking  and other  financial  services  Partial  Different  Partial  
8. Health related and social services     
A. Hospital services  Full Less Partial  
10. Recreational and cultural and sporting services  
A. Entertainment  services  Full Less Partial  
11. Transport services     
A. Maritime Transport Services  --- New Partial  
F. Road  Transport  Services  Partial  Less Partial  
H. Services  auxiliary  to all modes  of transport  Partial  Different  Partial  
12. Other services n.i.e.  --- New Partial  
Note:  Horizontal reservations and Mode 4 commitments/limitations not included.  
 Definitions in accordance with those of Table 4. 3. 
Source:  Draft Consolidated GATS Schedule of Specific Commitments (S/DCS/W/ECU) and Appendix 1 to 
Annex IX to the Agreement.  
 
4.72.  In addition to the full sectors listed in Table 4.2, the following sub -sectors are excluded under 
both the GATS and the Agreement: research and development; installati on and assembly work; 
building completion and finishing work; other distribution services; other financial services; tourist 
guide services; other tourist services; news agency services; and other recreational, cultural etc 
services.  
4.73.  Fully liberalized sub -sectors under both instruments (also in addition to those of Table 4.2) 
are hotels and restaurants; travel agencies and tour operator services; libraries, archives etc; and 
sporting and other recreational activities.  
4.74.  In business services, the Agreement in creases liberalization for professional services with 
additional commitments in integrated engineering services (free for modes 1 -3) and medical and 
dental services (free for mode 2) but liberalization is lower for accounting, auditing and bookkeeping 
services due to nationality and registration requirements that are not listed under the GATS. 
Commitments in consultancy services related to the installation of computer hardware have been 
improved with the full liberalization of mode 1 and other computer serv ices are fully liberalized under 
modes 1 -3. Improvements are made in rental/leasing services of private cars and vessels; however, 
for vessels, mode 3 reservations are introduced in cabotage and transport of hydrocarbons. The 
coverage of other business ser vices is extended to cover another eight sub -sectors, including e.g. 
market research and technical testing and analysis – in both cases free for modes 1 -3. An overall 
comparison of the sector is difficult because restrictions not listed under the GATS are now applicable 
to EFTA services suppliers – e.g. carving out services incidental to mining on a fee or contract basis 
for oil and gas fields, which under the GATS are free for modes 2 and 3. Similarly, new reservations 
also apply on related scientific and technical consulting services – which is extended to cover all 
activities but with a general carve out for services procured by the State.  
4.75.  Ecuador's commitments in telecommunications services are limited under both the Agreement 
and the GATS, and generally  restricted to value -added services. Cellular mobile telephone services 
are the only basic services partially covered. Besides, commitments under the Agreement are more 
restricted than under the GATS, reserving Ecuador's the right to discriminate in favour  of public 
operators to guarantee provision of the universal telecommunications service in isolated rural areas, 
marginal urban sectors, and to persons on lower incomes, and also to require a licence or 
authorization for the provision of some services.  
4.76.  In construction services, full commitments have been undertaken in general construction work 
for buildings - except for dwelling and educational buildings - and for civil engineering except for 
services procured by the State. "Other" construction services ha ve been fully liberalized.  WT/REG463/1  
 
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  4.77.  Liberalization of distribution services has been significantly improved, with all sub -sectors 
except "other" fully liberalized under the Agreement for modes 1 -3. Under the GATS only wholesale 
trade services are partially liberali zed. 
4.78.  In financial services, Ecuador expands its GATS commitments while maintaining a number of 
reservations, some of which are also reflected in the GATS. Financial entities willing to provide 
insurance, reinsurance and banking services are subject to auth orization and establishment 
requirements, as in the GATS. In insurance, Ecuador reserves the right to adopt or maintain 
measures restricting the acquisition of obligatory insurance outside Ecuador or requiring that they 
be purchased from suppliers establis hed in Ecuador. The same reservation applies to the acquisition 
of reinsurance and/or retrocession relating to such obligatory insurance. Ecuador does not allow 
foreign insurance and reinsurance companies, nor their intermediaries, to open representative 
offices in Ecuador. Commitments relating to non -life insurance of risks, and auxiliary insurance 
services related to these risks, have been improved in line with the GATS Understanding with the 
opening of modes 1 and 2 (unbound under the GATS) for risks rel ated to maritime shipping, 
commercial aviation, space launching and freight as well as goods in international transit. However, 
numerous reservations apply.  
4.79.  Similarly, for banking and other financial services, there are improvements in sectoral 
coverage co mbined with numerous sectoral reservations. For instance, the establishment of 
branches is not allowed in the securities market but is allowed in the rest of the sector provided they 
meet a minimum capital requirement and that creditors in Ecuador enjoy pr eferential rights in the 
event of liquidation. Also banking institutions cannot hold shares in companies providing insurance, 
securities, or related services. Coverage is expanded as compared to the GATS with commitments 
for modes 1 -3 in money broking serv ices and securities participation and related services - the only 
two activities unbound under the GATS. Conversely, in two other activities - advisory and other 
auxiliary financial services, and the provision and transfer of financial information – the se rvices 
involving the collection, maintenance and delivery of credit information that are free for modes 1 -3 
under the GATS have been partially closed to EFTA suppliers.  
4.80.  Commitments in health and social services are limited to hospitals under both the GATS and 
the Agreement. However, the Agreement requires that services offered by health and prepaid 
medical care companies must be provided by joint stock companies, whether national or foreign; 
under the GATS mode 3 is fully free.  
4.81.  In recreational, cultural and  sporting services, entertainment services are more restricted 
than under the GATS, with the introduction of new performance requirement reservations regarding 
the ratio of national to foreign artists and their wages.  
4.82.  In transport services, Ecuador makes new commitments in all the activities under maritime 
transport services, not covered under the GATS. Maritime passenger and freight transportation 
excluding cabotage are free for modes 1 -3; other activities are free for mode 2 and partially 
liberalized for  modes 1 and 3. In road transport services, however, commitments under the 
Agreement are more restricted than under the GATS with the addition of reservations for mode 3 
allowing for the application of any measure to international passenger and freight tra nsport 
operations in border areas. Ecuador's commitments in services auxiliary to all modes of transport 
are limited under both the GATS and the Agreement to maritime transport; mode 1, unbound under 
the GATS, is partially liberalized with those offered in  public ports being subject to concessions or 
other permits. The loading, unloading and storage of hydrocarbons is reserved to national, State -
owned or mixed shipping companies of which the State holds at least 51% of the share capital. 
Neither of these re servations are listed under the GATS.  
4.83.  Finally, Ecuador undertakes commitments in energy related services not listed under the 
GATS. They include services related to the generation of renewable energy, services incidental to 
the construction of energy infr astructure (except those procured by the State) and geothermal 
exploration and development, all of which are partially liberalized.  WT/REG463/1  
 
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  4.5  Regulatory provisions  
4.5.1   Domestic regulation  
4.84.  Article 3.8 disciplines are similar to those of GATS Article VI , except that thei r scope is wider  
than under the GATS, as they apply to all services sectors, and not only those for which specific 
commitments are undertaken.18 
4.85.  The Joint Committee is to decide on the incorporation into the Agreement of any further 
discipline s agreed under GATS Article VI.  During the first Joint Committee meeting on 14 December 
2021, the Parties had a first exchange on the potential incorporation into the Agreement (schedules 
of commitments)  of the new disciplines on services domestic regulatio n plurilaterally developed at 
the WTO. The EFTA States are all parties to the corresponding Joint Statement Initiative at the WTO, 
while by June 2023 that was not the case for Ecuador.   
4.5.2   Recognition  
4.86.  The provisions of Article 3.9 are in line with those of GA TS Article VII. A best endeavour clause 
applies to a Party's request for recognition of qualification, experience or related aspects that has 
been obtained in that other Party.  
4.87.  No MFN treatment applies with respect to mutual recognition instruments conclu ded between 
a Party and a non -party, but the same GATS best endeavour provision is reproduced under the 
Agreement. The GATS autonomous recognition is similarly reproduced in the Agreement.  
4.5.3   Subsidies  
4.88.  Consultations are foreseen if a Party considers that it is adversely affected by a subsidy of 
another Party (Article 3.16). Any disciplines agreed under Article XV of the GATS are to be reviewed 
by the Parties with a view to incorporating them into the Agreement.  
4.5.4   Safeguards  
4.89.  Measures to safeguard the balance -of-payments (BOP) are authorized under Articles 3.15 
and 4.9; see Section 5.3.  
4.5.5   Other provisions on investment  
4.90.  The provisions of Chapter 4 are summarized in other sub -heading s of this Factual 
Presentation. The Parties ' negative list of reservations on commerc ial presence in non -services 
sectors are  listed in Annex XV  and summarized in  Table 4.9. Reservations may be horizontal – e.g.  
land acquisition  is reserved to nationals – or sector -specific, such as for fishing (e.g. reserved to 
nationals or subject to equity restrictions) and energy.  
Table 4.9 Parties' reservations on Chapter 4 disciplines  
Reservations – Horizontal or Sectoral  ECU ISL LIE NOR CHE 
Real estate acquisition (and hiring/lease for I celand )     
 
Land acquisition - border and co astal areas and rural land       
Employment of nationals       
Social models such as cooperatives       
Local communities - cultural and natural heritage       
Transfers and remittance - outflow tax       
Mining and quarrying; manufacture of hydrocarbons and basic metals; 
electricity, gas and water supply       
Energy production and distribution       
Fishing       
Fish processing       
 
18 Except the GATS  non-nullification obligation under paragraph 5 of Article VI, which by definition only 
concerns sectors with specific commitments.  WT/REG463/1  
 
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  Reservations – Horizontal or Sectoral  ECU ISL LIE NOR CHE 
Fish auctioning       
Manufacture of chemicals and their products       
Manufacture of weapons and ammunition       
Manufacture/repair of transport equipment       
Commercial presence - economic test       
Commercial presence - residence requirements, type of company       
IPRs management systems       
Taxation       
Note:  Parties' r eservations are indicated in grey.  
Source:  Annex XV to the Agreement.  
 
4.91.  New reservations may be added to the list, subject to prior notification and consultations to 
be held upon the request of another Party. Reservations may also be modifie d if they do not decrease 
their conformity with the national treatment  discipline . 
4.92.  A review clause foresees periodical reviews of Chapter 4 in the Joint Committee.  
4.5.6   Other  
4.93.  Disciplines on business practices are those of GATS Article IX , which is incorporated into the 
Agreement (Article 3.13).  
4.6  Sector specific provisions on trade in services  
4.6.1    Telecommunication  
4.94.  Annex XII to the Agreement builds upon the GATS and its Annexes on Telecommunications 
and on Negotiations on Basic Telecommunications as wel l as the WTO's Reference Paper, to which 
neither Ecuador nor Liechtenstein committed under the WTO framework. Therefore, the first 
improvement under the Agreement consists of extending the Reference Paper to these two Parties.  
4.95.  The Annex on Telecommunicatio ns Services goes beyond the Reference Paper by including a 
number of additional disciplines, such as:  
a. a new right of appeal is introduced in case a Party's supplier finds its interests are 
adversely affected by a decision of the other Party's regulatory authority, in accordance 
with the latter 's laws and regulations;  
b. except for licences relating to the use of frequency spectrum, when a license is required 
for the supply of a service , it shall be granted automatically within a reasonable period of 
time in cases where all applicable conditions are fulfilled ;  
c. clarification that interconnection should  in principle  be agreed  on the basis of commercial 
negotiations between the companies concerned; and 
d. the Parties shall ensure that in case a dispute b etween suppliers and a major supplier 
could not be solved within a reasonable period of time, recourse to a Party's independent 
domestic body to fix the conditions, including using special conciliation proceedings, is 
possible . 
4.96.  There is n o obligation for number portability.  
4.6.2   Financial services   
4.97.  The Agreement's disciplines and definitions on financial services are included in Annex XI. The 
Annex builds upon those of the GATS and its Annex on Financial Services, as well as the GATS 
Understand ing, signed by EFTA Parties but not by Ecuador , during the Uruguay Round. The scope of 
financial services disciplines is the same as under the GATS.  WT/REG463/1  
 
- 32 - 
 
  4.98.  Specific n ational treatment disciplines mirror those of the provisions of the GATS 
Understanding . In parti cular, national treatment is to be accorded by public entities and, in the case 
of mandatory participation in self -regulatory entities, by these entities with respect to committed 
sectors.  
4.99.  There are additional disciplines on prudential measures ; transpare ncy; transfers and process 
of information ; and expeditious application procedures. In particular, mandatory licences for the 
supply of a financial service shall be granted within six months from application; if that is not 
practicable, the applicant shall be notified and the decision shall be taken as expeditiously as possible  
4.100.   Measures applied for prudential reasons shall be reasonable  and no mere burdensome than 
necessary. If they do not conform with the trade in services disciplines, they shall not be us ed as a 
means of avoiding commitment s and obligations. A best endeavour provision calls on the Parties to 
apply some standards and principles  agreed between them .19 Disciplines on the recognition of 
prudential measures are similar to those in paragraph 4.87.   above above . 
5  GENERAL PROVISIONS OF THE AGREEMENT  
5.1  Transparency  
5.1.  Overall transparency provisions are include d in Article 1.6, complemented by provision -specific 
additional obligations  as appropriate ; the latter prevail in case of inconsistency with the general 
obligation . The provisions require that s pecific questions posed by Parties are responded to promptly 
and information is provided upon request.  
5.2.  On trade in services, GATS Articles III:1 -2 and III bis apply and are incorporated into the 
Agreement (Article 3.11).  
5.2  Current payments and capital movements  
5.3.  Restrictions on international transfers and payments for cu rrent transactions related to trade 
in services  (including commercial presence  in non -services sectors) are prohibited, except in case of 
BOP problems  (Article s 3.14 and 4.8 ). Under GATS  Article XI , the prohibition only applies to 
transactions relating to specific commitments. The RoU clarifies that this is without prejudice to the 
equitable, non -discriminatory and good faith application of prudential measures.  
5.3  Exceptions  
5.4.  Articles XX and XXI of the GATT 1994 are incorporated into the Agreement, mutatis mutandis  
(Articles 2.19  and 2.20). Similarly for trade in services, GATS Articles XIV and XIV bis are 
incorporated into the Agreement (Article 3.17).  These are also partially incorporated into Chapter 4 
under Articles 4.10 and 4.11.  
5.5.  Disciplines on BOP safeguard s are those of GATT Articles XII, XV and XVIII :B and the related 
GATT Understanding , and par agraphs 1 -3 of the GATS Article XII, which are incorporated into the 
Agreement . In addition, the Party introducing any such measure shall promptly notify the Joint 
Committee (Articles 2.2 1, 3.15 and 4.920). The RoU includes a provision authorizing Ecuador , in 
exceptional circumstances relating to serious difficulties to liquidity in its economy , to adopt 
safeguard measures for a maximum period of  one year ; an extension is possible subject to a 
justification . Such measures shall not be used to protect indust ries and shall be promptly notified; 
a schedule for their removal shall be presented as soon as possible.  
 
19 The Basel Committee’s Core Principles for Effective Banking Supervision , the standards and principles 
of the International  Association of Insurance Supervisors, and the International Organisation of Securities 
Commissions’ Objectives and Principles of Securities Regulation . 
20 Article 4.9 only refers to the BOP provisions of GATT Article XII.  WT/REG463/1  
 
- 33 - 
 
  5.4  Accession and Withdrawal  
5.6.  In accordance with Article 12.3, any State becoming a member of the EFTA may accede to the 
Agreement upon negotiations.  
5.7.  Withd rawal from the Agreement is possible and will become effective six months after a written 
notification is received by the Depositary (Norway). If Ecuador withdraws, the Agreement will expire; 
if an EFTA State withdraws from the EFTA Convention, it will sim ultaneously cease to be a Party to 
the Agreement (Article 12.4).  
5.5  Institutional framework  
5.8.  The Agreement's governing body is the Joint Committee . Its first meeting took place on 14 
December 2021;21 thereafter it is to meet every two years. It may establish subcommittees and 
working groups ; as of June 2023, no other bodies had been established . 
5.9.  A Sub-Committee on Trade in Goods was established under the Agreement (Article 2.22 and 
Annex VIII); its main task is to monitor and review measures taken an d the implementation of 
commitments. A Sub -Committee on Cooperation  was also established (Article 9.10 and 
Annex  XVIII). Its tasks involve monitoring and assessing the progress in the implementation of 
trade-related cooperation and evaluating the developme nt of trade and investment between the 
Parties in order to propose appropriate cooperation action to the Joint Committee.   
5.6  Dispute settlement  
5.10.  The Agreement's dispute settlement process is contained in Chapter 11, which applies to the 
settlement of disputes  concerning the interpretation or application of the Agreement arising 
there under, in particular if a Party considers that a measure is inconsistent with th e Agreement 
(Article 11.1). Non-violation complaints are not foreseen .  
5.11.  As in the WTO, the dispute s ettlement mechanism foresees good offices, conciliation and 
mediation; consultations; and arbitration through the establishment of a n arbitration  panel  
(hereafter "panel")  composed of three members if consultations fail to resolve the differences.22 
There is no right to appeal a panel report. Forum selection (the Agreement's or the WTO's dispute 
settlement) is provided for in at the discretion of the complaining Party. The selected forum shall be 
used to the exclusion of the other.  
5.12.  In general the timeframe from the request for consultations up to the presentation of the final 
report to the Parties is 210 days, of which 90 days for the issuance/drafting of the report (with 
45 days for the submission of an initial repo rt). In cases of urgency , consultation -related deadlines 
are reduced by half, while the panel "shall endeavour to accelerate" the panel report proceedings.   
5.13.  The Parties may agree for a panel to suspend its work for a period not exceeding 12 months. 
Termination of proceedings is pos sible at any time if the Parties find a mutually satisfactory solution 
to the dispute.  
5.14.  Detailed disciplines, including timeframes, regulate the implementation of the conclusions of 
the panel report . Prompt  implementation is preferable; however, a period of  time may be granted 
instead, either by mutual agreement or by determination of the panel.  
5.15.  Disagreement between the Parties regarding the implementation of measures shall be 
resolved by the same arbitration panel. The timeframe associated with this phase s hall not exceed 
90 days.  
5.16.  Failure to eliminate the inconsistent measure(s) opens the door to compensation to be 
mutually agreed. Should no such agreement be found, the affected Party is authorized to suspend 
 
21 The Rules of procedure and amendments to the Annex on rules of origin  were adopted at that 
meeting . 
22 In case the parties fail to agree on the panellists they may request the WTO Director -General , or one 
of its Deput ies, or the President of the International Court of Justice , to act as appointing authority.  WT/REG463/1  
 
- 34 - 
 
  concessions or other obligations. Cross -sectoral retaliation is authorized as a second resort. 
Retaliation may also be challenged in  which  case the arbitration panel shall rule on the issue within 
a maximum of 30 days.  
5.17.  If required by the panel,  the dispute settlement timeframes may be extended by a maxi mum 
of 30 days.  
5.18.  The RoU notes that relevant interpretations made in the context of the WTO panels and 
Appellate Bo dy shall be taken account of where relevant in interpreting the Agreement.  
5.7  Relationship with other agreements concluded by the Parties  
5.19.  The Parties confirm the ir rights and obligations under the WTO Agreement as well as any 
other international agreement to which they are party . A best endeavour clause provides for 
consultations if a Party considers that the other Party's  preferential agree ment has the effect of 
altering the trade regime provided for by this Agreement  (Article 1.4).  
Table 5.1 EFTA States and Ecuador: Participation in other RTAs (notified and non -
notified in force), as of 12 June  2023  
RTA Name  Entry into 
forcea Coverage  GATT/WTO Notification  
Yearb WTO Provision  
EFTA States - Collectively  
EFTA - Indonesia  01-Nov-21 Goods & 
Services  2022 GATT Art. XXIV & GATS Art. V  
EFTA - Türkiye  01-Oct-21 Goods & 
Services  2022 GATT Art. XXIV & GATS Art. V  
EFTA - Philippines  01-Jun-18 Goods & 
Services  2018 GATT Art. XXIV & GATS Art. V  
EFTA - Georgia  01-Sep-17 Goods & 
Services  2017 GATT Art. XXIV & GATS Art. V  
EFTA - Bosnia and Herzegovina  01-Jan-15 Goods  2015 GATT Art. XXIV  
EFTA - Central America (Costa Rica 
and Panama)  19-Aug-14 Goods & 
Services  2014 GATT Art. XXIV & GATS Art. V  
EFTA – Gulf Cooperation Council 
(GCC)  01-Jul-14 Goods & 
Services  2022 GATT Art. XXIV & GATS Art. V  
EFTA - Hong Kong, China  01-Oct-12 Goods & 
Services  2012 GATT Art. XXIV & GATS Art. V  
EFTA - Montenegro  01-Sep-12 Goods  2012 GATT Art. XXIV  
EFTA - Ukraine  01-Jun-12 Goods & 
Services  2012 GATT Art. XXIV & GATS Art. V  
EFTA - Colombia  01-Jul-11 Goods & 
Services  2011 GATT Art. XXIV & GATS Art. V  
EFTA - Peru 01-Jul-11 Goods  2011 GATT Art. XXIV  
EFTA - Albania  01-Nov-10 Goods  2011 GATT Art. XXIV  
EFTA - Serbia  01-Oct-10 Goods  2010 GATT Art. XXIV  
EFTA - Canada  01-Jul-09 Goods  2009 GATT Art. XXIV  
EFTA - SACU  01-May-08 Goods  2008 GATT Art. XXIV  
EFTA - Egypt  01-Aug-07 Goods  2007 GATT Art. XXIV  
EFTA - Lebanon  01-Jan-07 Goods  2006 GATT Art. XXIV  
EFTA - Republic of Korea  01-Sep-06 Goods & 
Services  2006 GATT Art. XXIV & GATS Art. V  
EFTA - Tunisia  01-Jun-05 Goods  2005 GATT Art. XXIV  
EFTA - Chile 01-Dec-04 Goods & 
Services  2004 GATT Art. XXIV & GATS Art. V  
EFTA - Singapore  01-Jan-03 Goods & 
Services  2003 GATT Art. XXIV & GATS Art. V  
EFTA - Jordan  01-Sep-02 Goods  2002 GATT Art. XXIV  
EFTA - North Macedonia  01-May-02 Goods  2000 GATT Art. XXIV  
EFTA - Mexico  01-Jul-01 Goods & 
Services  2001 GATT Art. XXIV & GATS Art. V  
EFTA - Morocco  01-Dec-99 Goods  2000 GATT Art. XXIV  WT/REG463/1  
 
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  RTA Name  Entry into 
forcea Coverage  GATT/WTO Notification  
Yearb WTO Provision  
EFTA - Palestine  01-Jul-99 Goods  1999 GATT Art. XXIV  
EFTA - Israel  01-Jan-93 Goods  1992 GATT Art. XXIV  
European Free Trade Association 
(EFTA)  03-May-60 
01-Jun-02 Goods  
Services  1959 
2002 GATT Art. XXIV  
GATS Art. V  
• EFTA - Accession of Iceland  01-Mar-70 Goods  1970 GATT Art. XXIV  
Individual EFTA States  
United Kingdom - Iceland, 
Liechtenstein and Norway  01-Dec-21 Goods & 
Services  2021 GATT Art. XXIV & GATS Art. V  
United Kingdom - Switzerland - 
Liechtenstein  01-Jan-21 Goods  2020 GATT Art. XXIV  
Iceland - China  01-Jul-14 Goods & 
Services  2014 GATT Art. XXIV & GATS Art. V  
Switzerland - China  01-Jul-14 Goods & 
Services  2014 GATT Art. XXIV & GATS Art. V  
Japan - Switzerland  01-Sep-09 Goods & 
Services  2009 GATT Art. XXIV & GATS Art. V  
Iceland - Faroe Islands  01-Nov-06 Goods & 
Services  2008 GATT Art. XXIV & GATS Art. V  
Faroe Islands - Switzerland  01-Mar-95 Goods  1996 GATT Art. XXIV  
European Economic Area (EEA)  01-Jan-94 Services  1996 GATS Art. V  
Faroe Islands - Norway  01-Jul-93 Goods  1996 GATT Art. XXIV  
EU - Norway  01-Jul-73 Goods  1973 GATT Art. XXIV  
EU - Iceland  01-Apr-73 Goods  1972 GATT Art. XXIV  
EU - Switzerland - Liechtenstein  01-Jan-73 Goods  1972 GATT Art. XXIV  
ECUADOR  
Chile - Ecuador  
[LAIA, AAP.CE 75]  16-May-22 Goods  
Services  2022 
Not notified  Enabling Clause - Changes to 
LAIA TM 80  
United Kingdom – Colombia, Ecuador 
and Peru  01-Jan-21 Goods & 
Services  2020 GATT Art. XXIV & GATS Art. V  
Ecuador – Nicaragua  
[LAIA, AAP.A25TM 45]  19-Nov-17 Goods  2022 / 2018 Enabling Clause - Changes to 
LAIA TM 80  
El Salvador - Ecuador  16-Nov-17 Goods  2018 Enabling Clause  
EU – Colombia, Ecuador and Peru  01-Mar-13 Goods & 
Services  2013 GATT Art. XXIV & GATS Art. V  
• EU - Colombia and Peru - 
Accession of Ecuador  01-Jan-17 Goods & 
Services  2017 GATT Art. XXIV & GATS Art. V  
Ecuador - Guatemala  
[LAIA, AAP.A25TM 42]  19-Feb-13 Goods  2020 / 2014  Enabling Clause - Changes to 
LAIA TM 80  
MERCOSUR - Andean Community 
(except Plurinational  State of Bolivia 
and Peru)  
[LAIA, AAP.CE 59]  05-Jan-05 Goods  2020 / 2006  Enabling Clause - Changes to 
LAIA TM 80  
Cuba - Ecuador  
[LAIA, AAP.CE 46]  13-Mar-01 Goods  2020 / 2012  Enabling Clause - Changes to 
LAIA TM 80  
LAIA - Seeds  
[LAIA, AAP.AG 2]  18-Jun-93 Goods  2020 / 1992  Enabling Clause - Changes to 
LAIA TM 80  
Global System of Trade Preferences 
among Developing Countries (GSTP)  19-Apr-89 Goods  1989 Enabling Clause  
LAIA - Cultural Goods  
[LAIA, AAR.CEYC 7]  01-Jan-89 Goods  2020 / 1999  Enabling Clause - Changes to 
LAIA TM 80  
Andean Community (CAN)  25-May-88 
14-Dec-06 Goods  
Services  1990 
Not notified  Enabling Clause  
LAIA- Preferences in favour of 
Paraguay  
[LAIA, AAR.AM 3]  01-Jul-84 Goods  2020 / 1984  Enabling Clause - Changes to 
LAIA TM 80  
LAIA – Agreement on Regional Tariff 
Preference  
[LAIA, AAR.PAR 4]  01-Jul-84 Goods  2020 / 1984  Enabling Clause - Changes to 
LAIA TM 80  
Ecuador – Mexico  01-May-83 Goods  2019 Enabling Clause  
LAIA - Preferences in favour of 
Ecuador  
[LAIA, AAR.AM 2]  01-May-83 Goods  2020 / 1984  Enabling Clause - Changes to 
LAIA TM 80  WT/REG463/1  
 
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  RTA Name  Entry into 
forcea Coverage  GATT/WTO Notification  
Yearb WTO Provision  
LAIA - Preferences in favour of the 
Plurinational State of Bolivia  
[LAIA, AAR.AM 1]  01-May-83 Goods  2020 / 1984  Enabling Clause - Changes to 
LAIA TM 80  
Latin American Integration 
Association (LAIA)  18-Mar-81 Goods  1982 Enabling Clause  
• LAIA - Accession of Panama  03-May-12 Goods  Not notified  
• LAIA – Accession of Cuba  26-Aug-99 Goods  1999 Enabling Clause  
a Dates of the first entry into force/provisional application for at least one of the Parties. Where dates 
of provisional application have been provided by the Parties, further notifications to confirm the 
dates of entry into force are awaited.  
b For Agreements under LAIA T reaty of Montevideo , two dates are included in the table. The first date 
is that of the circulation of the relevant individual datasheet under the series 
WT/COMTD/RTA15/N/1/ -; the second date is that of the circulation of LAIA's reports that referred to 
the relevant agreemen t, circulated under the series WT/COMTD/ - and (GATT 1947) L/-. 
Source:  WTO Secretariat. Further information on these Agreements and on specific dates of entry into 
force/provisional applications may be found in the WTO Database on RTAs: http://rtais.wto.org .  
 
5.8  Government procurement  
5.20.  Among the Parties, only Ecuador  is not a signatory to the WTO Government Procurement 
Agreement (GPA); it has however an observer status in the Agreement. The thresholds for all the 
Parties generally reflect those of the EFTA States  under the GPA but have fallen for Ecuador 
(Table  5.2). 
5.21.  Government procurement provisions, addressed in Chapter 6 , are largely based on those of 
the WTO GPA with some adaptations.  
5.22.  The scope of Chapter 6 ( Article 6.1) is similar to that of the GPA . It includes procurement : 
a. by government entities (central, sub -central and others) listed in the Parties' Schedules 
included in the Appendices 1 -3 to Ann ex XVII . At the central level of government, the list s 
of entities are the same under the GPA and the Agreement for all EFTA countries . In the 
case of Switzerland , the list of entities is the same as within the 1994 GPA (in force  a t the 
time of the conclu sion of the EFTA -Ecuador FTA ). For other covered entities, the 
Agreement's coverage is more limited in the case of Iceland and Liechtenstein , but the 
same for Norway and Switzerland ;  
b. of goods, services or any combination thereof;  
c. above the thresholds ind icated in Table 5.2  below; and  
d. the Parties' sectoral exclusions, either permanent or time -bound , are specified in 
Appendices 4 -6. Appendix 11  also includes general notes specific to each Party.  The list of 
exceptions is the same for all EFTA Parties except Switzerland, for whom a wider list is in 
force.  
Table 5.2 Government Procurement Thresholds (SDRs)a  
 Central Government 
Entities  Sub-central 
Government Entities  Other Entities 
Goods 
Services  Construction 
services  Goods, 
Services  Construction 
services  
(Section E)  Goods (Sec. C),  
Services (Sec. D)  Construction 
services  
(Section E)  
ECUb 260,000  
130,000  6,000,000  
5,000,000  350,000  
200,000  6,000,000  
5,000,000  400,000  6,000,000  
5,000,000  
ISL 130,000  5,000,000  200,000  5,000,000  400,000  5,000,000  
LIE 130,000  5,000,000  200,000  5,000,000  400,000  5,000,000  
NOR 130,000  5,000,000  200,000  5,000,000  400,000  5,000,000  
CHE 130,000  5,000,000  200,000  5,000,000  400,000  5,000,000  
Thresholds applied by most Parties to the WTO Government Procurement Agreement  WT/REG463/1  
 
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   Central Government 
Entities  Sub-central 
Government Entities  Other Entities 
Goods 
Services  Construction 
services  Goods, 
Services  Construction 
services  
(Section E)  Goods (Sec. C),  
Services (Sec. D)  Construction 
services  
(Section E)  
WTO 130,000  5,000,000  200,000  5,000,000  400,000  5,000,000  
a In December 2022 , 1 SDR =1.32 USD.  
b Higher thresholds applied during the five-year period after the Agreement's entry into force.  
Source:  Appendi ces 1-3 to Annex XVII to the Agreement.  
 
5.23.  In addition, the RoU: 
a. confirm s that a Party has the right to request suppliers to be, at the moment of signing 
the contract , domicile d in that Party and to have a legal representative in  accordance with 
domestic legislation . In cases where this requirement is waived with respect to any non -
party, an MFN clause provides for an automatic extension of this exception to all Parties 
and their suppliers . As of June 2023, no developments have taken place ; and  
b. states the intention of  Switzerland to mirro r its market access coverage  achieved under 
the revised GPA  in favour of Ecuador  after its ratification by Switzerland . Preparatory work  
has been initiated following the entry into force for Switzerland of the revised GPA on 1 
January 2021 .  
5.9  Intellectual property rights  
5.24.  Chapter 5 and Annex XVI to the Agreement cover protection of intellectual property rights 
(IPRs). National treatment with respect to IPRs apply among the Parties - except in accordance with 
Articles 3 and 5 of the WTO TRIPs Agreement .  
5.25.  Under a n MFN clause in paragraph 3 of Article 5 , if a Party concludes an RTA containing IPR 
provisions with a non -party, notified under GATT Article XXIV , it shall notify  the other Parties without 
delay and accord to them treatment no less favourable than that pr ovided therein.  Incorporation of 
these provisions into the Agreement shall be negotiated upon request by another Party. Exemptions 
from this obligation must be in accordance with the substantive provisions of the TRIPS Agreement, 
in particular Articles 4 a nd 5 – which, as regard RTAs, only exempts those in force prior to 1 January 
199523 – i.e. at the entry into force of the WTO. As of June 2023, no developments have taken place 
in this regard.  
5.26.  The following provisions are included in Annex XV :  
a. the Parties  reaffirm their obligations in a number  of multilateral agreements , including the 
TRIPS  Agreement . They commi t to ratify , accede or comply with the substantive provisions 
of a number of agreements before 2020 ; and to endeavour to accede to two other 
agreem ents;24  
b. standards concerning the availability, scope and use of IPRs which build upon those of the 
TRIPS Agreement , including inter alia  the following new disciplines :  
i. on copyright and related rights , clarifying that the term of protection for producers of 
videograms shall be 50 years, and that both for these and for broadcasting 
organizations the term of protection may be computed from the year of 
publication/fixation or from 1 January of the followi ng year;  
ii. additional protection for well -known trademarks, including in cases where the y are not 
registered in the respective Party;  
 
23 A very few RTAs in force in December 1994 include d IPR provisions.  
24 The Marrakesh Treaty  has since been ratified by all EFTA States and Ecuador, while Ecuador, 
Liechtenstein and Switzerland  have since ratified  the Beijing T reaty on Audiovisual Performances . WT/REG463/1  
 
- 38 - 
 
  iii.  on patents , clarification on exclusions from patentability; transparency provisions for 
unpublished pending patent applic ations ; and compensation mechanism that may be 
available in case of curtailment of patent terms for pharmaceutical products;  
iv. additional provisions on undisclosed information; industrial designs; geographical 
indications; indications of source and country n ames ; and State owned signs ; 
c. a section on biodiversity and traditional knowledge, which requir e the Parties to 
domestically regulate the interface between access to genetic resource, traditional 
knowledge and protection of IPRs;  
d. confirmation that the TRIPS  Agreement provision s on acquisition and maintenance of IPRs , 
in particular Article 62, set the minimum standards between the Parties ; and 
e. additional provisions with respect to enforcement of IPRs, building upon , in particular , 
Article s 41 through 61  of the TRIPS Agreement . 
5.27.  The Chapter's provisions may be reviewed by the Joint Committee upon request of a Party.  
5.10  Competition  
5.28.  Chapter 7 on Competition identifies a nti-competitive business practices of enterprises that 
are incompatible with th e proper functioning of the Agreement  but does not prohibit them.25 Rather, 
their elimination is pursed through cooperation and consultation.  
5.29.   The anti -competitive business practices also appl y to State enterprises  and enterprises with 
special and exclusiv e rights , which remain authorized, and so do designated monopolies.   
5.30.  The Agreement's dispute settlement mechanism does not apply to Chapter 7 (Article 7.5). 
Instead, if a matter cannot be solved through cooperation and consultation, further consultations 
are to be held in the Joint Committee which shall facilitate mutual agreement.  
5.11  Environment  and Labour  
5.31.  Chapter 8 on Trade and Sustainable Development deals wit h both environment and labour. 
The right of the Parties to regulate and set their own levels of environmental and labour protection  
consistent with the international standards, principles and agreements referred to in Articles 8.5 and 
8.6 is reaffirmed in Article 8.3.  
5.32.  Subject to this freedom, the Agreement does not allow a "race to the bottom" – namely the 
Parties shall not weaken, reduce, derogate from or waive their environmental and labour laws, 
regulations or standards as an incentive to trade and investment. They shall also not fail to enforce 
their corresponding legislation in a manner affecting trade or investment between the Parties. The 
Parties reaffirm their commitment to effectively implement their international obligations, including 
under m ultilateral environment al agreements and International Labour Organization standards and 
agreements and reaffirm that the  violation of fundamental principles and rights at work cannot be 
invoked or otherwise  used as a legitimate comparative advantage.  On labour, four priority areas are 
identified as requiring the development or enhancement of measures.26  
5.33.  Provisions call for the Parties to facilitate and promote trade and foreign investment in goods 
and services  that contribute to sustainable development . They shall also encourage corporate social 
responsibility practices.  
 
25 Agreements between enterprises, decisions by associations of enterprises and concerted practices 
which have as their object or effect the prevention, restriction or distortion of competition; and abuse by one 
or more en terprises of a dominant position . 
26 Occupational safety and health, including compensation in case of occupational injury or illness; 
decent working conditions for all; effective labour inspection systems; and  equality of treatment in respect of 
working co nditions.  WT/REG463/1  
 
- 39 - 
 
  5.34.   In Articles 8.8, 8.9 and 8.10 t he Parties commit to a series of measures aimed at ensuring 
that trade contributes to the conservation and  sustainable use of biological diversity, and the 
sustainable management of  fisheries and forestry. Article 8.11 addresses trade and climate change; 
in particular, it commits the Parties to effectively implement the UNFCCC and the  Paris Agreement.  
5.35.  Contact points shall be designated in each Party.27 Consul tations about any matter under 
Chapter 8 may be requested through these contact points either at expert  level or in the Joint 
Committee.  
5.36.  The Agreement's dispute settlement mechanism (Chapter 11)  does not apply to Chapter 8. 
However, upon agreement, the Parties may have recourse to good offices, conciliation or mediation 
under Article 11.2 (paragraph 3 of Article 8.13).  
5.37.  The Chapter will be periodically reviewed in the Joint Committee, but no specific time frame 
is set.  
5.12  Electronic commerce  
5.38.  There are no specific provisions on electronic commerce in the Agreement.  
5.13  Small and medium -sized enterprises  
5.39.  Small and medium -sized enterprises are singled out in the context of cooperation aimed at 
achieving a better understanding of, and access to, the Parties' government procurement systems 
and markets28 (Article 9.8).  
5.14  Other  
5.14.1   Taxation  
5.40.  While Parties are sovereign in terms of taxation, they remain subject to various taxation -
related disciplines such as national and MFN treatment under the WTO and the Agreem ent. 
5.41.  A tax convention between an EFTA State and Ecuador is outside the scope of the Agreement; 
in case of inconstancy between them, the convention shall prevail.  Consultations may be held in the 
Joint Committee if a Party considers it is being adversely af fected by the provisions of the latter. 
Recourse to dispute settlement is not possible.  
5.42.  Article 1.7 and the RoU clarify that "taxation measures" do not include import and export 
duties while measures aimed at preventing tax avoidance and tax evasion are in cluded.  
5.14.2   State trading enterprises  
5.43.  Article XVII of the GATT 1994 and the related Understanding are incorporated into and made 
part of the Agreement, mutatis mutandis  (Article 2.18).  
5.14.3   Cooperation  
5.44.  Chapter 9 on cooperation lists a number of fields of cooperation with specific reference being 
made to various areas for technical cooperation.  
5.45.  The Agreement's dispute settlement mechanism does not apply to Chapter 9 (Article 9.11).  
 
27 The EFTA Secretariat for the EFTA States and for Ecuador, the Direction of Europe and North America 
trade affairs at the Vice  Ministry of Foreign Trade.  
28 Ecuador's Actores de la Economia Popular y Solidaria  (“AEPYS”) (Popular and Solidarity Stakeholders) 
are recognized as  being a n MSME . WT/REG463/1  
 
- 40 - 
 
  ANNEX 1  
1. The tables A1.1 and A1.2 below present in detail the tariff liberalization of EFTA Parties and 
Ecuador under the Agreement.  
Table A1. 1 EFTA States: Tariff elimination commitments under the Agreement and 
corresponding average tra de 
Duty phase -out 
period  EFTA States' Imports from Ecuador  
(Value USD million, 2017 -2019)  
 
 ICELAND  NORWAY  
Lines  Imports  Lines  Imports  
No  %  Value  %  Value  %  Value  %  
2020 (MFN)  7,937  88.9 5.4 95.8 6,112  85.2 26.4 96.4 
2020   543 6.1 0.2 3.8 386 5.4 0.5 1.7 
Remain dutiable  451 5.0 0.0 0.4 677 9.4 0.5 1.9 
Total  8,931  100.0  5.6 100.0  7,175  100.0  27.4  100.0  
 SWITZERLAND  
  Lines  Imports  
 No  %  Value  %  
2020 (MFN)  2,301  27.0 126.4  84.3 
2020  4,920  57.7 22.4 15.0 
Remain dutiable  1,302  15.3 1.0 0.7 
Total  8,523  100.0  149.8  100.0  
Source:  WTO estimates based on the data provided by the Parties' authorities and the WTO -IDB. 
Table A1. 2 Ecuador: Tariff elimination commitments under the Agreement and 
corresponding average trade  
Duty phase - 
out period  Lines  Imports from EFTA 
Party (2017 -2019)  Lines  Imports from EFTA 
Party (2017 -2019)  
No  %  Value  % No  %  Value  % 
  ICELAND  NORWAY  
2020 (MFN)  2,987  37.3 0.12 21.6 2,987  37.3 5.1 59.5 
2020 824 10.3 0.33 60.4 825 10.3 1.1 13.4 
2024 1,023  12.8 0.07 13.3 1,031  12.9 1.7 19.4 
2026 70 0.9 0.01 2.3 66 0.8 0.0 0.1 
2029 2,011  25.1 0.00 0.2 2,054  25.7 0.5 5.6 
2034 96 1.2 0.00 0.2 98 1.2 0.0 0.6 
2036 183 2.3 0.01 2.1 183 2.3 0.1 1.3 
Remain dutiable  804 10.1 0.00 0.0 754 9.4 0.0 0.2 
Total  7,998  100.0  0.54 100.0  7,998  100.0  8.5 100.0  
 SWITZERLAND   
2020 (MFN)  2,987  37.3 39.1 39.7     
2020 841 10.5 10.7 10.9     
2024 1,046  13.1 35.8 36.4     
2026 60 0.8 2.2 2.2     
2029 2,104  26.3 8.7 8.8     
2031 1 0.0 0.0 0.0     
2034 97 1.2 1.2 1.3     
2036 183 2.3 0.7 0.7     
Remain dutiable  679 8.5 0.1 0.1     
Total  7,998  100.0  98.4 100.0      
Sourc e: WTO estimates based on data provided by Ecuador authorities and the WTO -IDB. WT/REG463/1  
 
- 41 - 
 
  2. Table A1.3 shows tariff liberalization by Ecuador and EFTA States under the Agreement by 
total, agricultural (HS Chapters 1 -24) and industrial products at entry into force and,  for Ecuador, 
in 2029 (year 10) and 2036 (end of implementation).  
3. Under the Agreement, in 202 0, two EFTA States – Iceland and Norway - had already overall 
a high share of duty -free lines on an MFN basis, which increased upon the Agreement's entry into 
force to 95% and 90.6% respectively for imports from Ecuador  (Table A1.3) . For Switzerland the 
share of duty -free lines increased from 27% to 84.7%. However, given that its tariff is subject to 
specific duties for which no ad valorem  equivalents are available,  no information can be provided as 
regards average applied rates. In agricultural products, the higher increase of the ratio of duty -free 
lines took place in Iceland (19.9%). Switzerland's share of duty-free lines increased by slightly lower, 
with a corres ponding increase in Norway of 7.4%. Iceland applies duty -free on an MFN basis for all 
HS Chapters 25 -97; as for Norway and Switzerland, close to 100% of the lines are duty -free. The 
average applied rate for imports from Ecuador fell to 1.3% and 1.6% from M FN applied average 
rates of 2.6% and 2.5% in Iceland and Norway respectively; while the applied average tariff fell to 
zero for industrial products for both countries, it fell to 4.3% and 9.5% respectively for agricultural 
products, compared to average app lied MFN rates of 8.8% and 12.7% in Iceland and Norway. 
Switzerland's tariff is subject to specific rates of duty . 
4. In 202 0, Ecuador's share of duty -free lines overall increased from 37.3% on an MFN basis to 
around 48% for imports from EFTA States. A higher  number of agricultural products from Switzerland 
entered Ecuador duty -free - 43%, compared to 42% for Iceland and Norway; while 48.9% of 
industrial products from all EFTA States entered duty free (compared to 41.9% on an MFN basis). 
This trend continues t hrough the transition period and by the end of implementation a higher number 
of industrial products from Switzerland will also enter Ecuador duty -free – 99.8%, compared to 
99.7% from Iceland and Norway. In 2020 Ecuador's average applied tariff for imports  from EFTA fell 
to 8.2% overall, compared to an overall MFN average of 10.5%. The average applied tariff for 
agricultural products fell to 12.8%, compared to 19.6% at the MFN level, and to 7.3% for industrial 
products compared to the MFN average of 8.9%.  
Table A1. 3 Parties: Indicators of MFN tariff rates and preferential rates for imports  
Origin of 
goods  Year  ALL PRODUCTS  HS Chapters 01 -24 HS Chapters 25 -97 
Average applied 
tariff  Share of 
duty-
free 
tariff 
lines 
(%) Average 
applied tariff  Share 
of duty -
free 
tariff 
lines 
(%) Average 
applied tariff  Share 
of duty -
free 
tariff 
lines 
(%) Overall 
(%) 
On 
dutiable 
(%) 
Overall 
(%) 
On 
dutiable 
(%) 
Overall 
(%) 
On 
dutiable 
(%) 
EFTA STATES  
Iceland  
MFN 2020 2.6 25.1 88.9 8.8 25.1 63.5 0.0 0.0 100.0  
Ecuador  2020 1.3 31.6 95.0 4.3 31.6 83.4 0.0 0.0 100.0  
Norway  
MFN 2020 2.5 45.0 85.2 12.7 127.8  54.9 0.5 11.2 94.9 
Ecuador  2020 1.6 211.0  90.6 9.5 211.0  62.3 0.0 0.0 99.7 
Switzerland  
MFN 2020 … … 27.0 … … 25.7 … … 27.5 
Ecuador  2020 … … 84.7 … … 45.1 … … 99.9 
ECUADOR  
MFN 2020 10.5 17.1 37.3 19.6 24.1 16.3 8.9 15.3 41.9 
Iceland  2020 8.2 16.0 47.6 12.8 23.7 41.9 7.3 14.4 48.9 
Y10 2029 2.3 19.2 86.5 12.5 23.8 43.6 0.4 8.2 95.6 
EOI 2036 2.0 23.7 89.9 12.4 24.1 44.1 0.0 7.3 99.7 
Norway  2020 8.2 16.0 47.7 12.7 23.5 42.0 7.3 14.4 48.9 
Y10 2029 2.2 19.1 87.0 11.7 24.1 47.0 0.4 8.2 95.6 
EOI 2036 1.9 24.0 90.6 11.7 24.4 47.7 0.0 7.3 99.7 
Switzerland  2020 8.2 15.9 47.9 12.4 23.6 43.0 7.3 14.4 48.9 
Y10 2029 2.0 18.9 88.0 10.4 24.4 52.1 0.4 8.2 95.7 
EOI 2036 1.7 24.3 91.5 10.4 24.7 52.8 0.0 7.1 99.8 
…  Not available: Switzerland's tariff is subject to specific duties for which ad valorem  equivalents are 
not available.  
Source:  WTO estimates based on the data provided by the Parties . WT/REG463/1  
 
- 42 - 
 
  5. Table A1.4 shows the market access opportunities in each EFTA State  for the top 25 exports 
of Ecuador , which accounted for 88.2% of its exports  in 2017 -2019. Some of these products – 17 in 
Iceland an d Norway and 8 in Switzerland – benefit from MFN duty -free treatment. A number of 
Ecuador's top exports will remain dutiable in EFTA States – 4 in Iceland, 8 in Norway and 6 in 
Switzerland, of which three – fresh flowers, frozen vegetables and animal food p reparations - in all 
markets. These products were subject to MFN rates ranging from 7.2% to 149.4% in 2020; in 
addition, in Norway and Switzerland they may instead be subject  only to specific rates.   
Table A1. 4 EFTA: Market acce ss opportunities under the agreement for Ecuador's top 25 
exports to the world, 2017 -2019  
Ecuador's top 
export products  Access conditions to EFTA's import markets  
HS 
number  Share in 
global 
export 
(%) MFN 2020  
Average applied 
rate (%)  MFN 2020  
Duty -free 
(No. of lines)  MFN 2020 Dutiable  
Treatment under the Agreement  
(No. of lines)  
Free in 2020  Remain dutiable  
ISL NOR CHE ISL NOR CHE ISL NOR CHE ISL NOR CHE 
270900  34.6 0.0 0.0 0.0 1 2 2       
030617  14.7 2.0 0.0 0.0 4 1 1 1      
080390  14.7 0.0 0.0 … 1 1    1    
160414  5.1 10.0 0.0 …  1 1 2  1    
271019  4.2 0.0 0.0 0.0 9 20 9       
180100  3.0 0.0 0.0 0.0 1 1 1       
060311  2.9 30.0 124.5  …  1 1   1 1 1  
030616  1.3 2.0 0.0 0.0 4 3 1 1      
060319  0.9 30.0 149.4  …  4  3 1 4 14 5 1 
710812  0.8 0.0 0.0 0.0 1 1 1       
151110  0.6 0.0 - … 2 1 1     1 1 
071080  0.6 30.0 - …  4  3   1 6 2 
441019  0.5 0.0 0.0 0.0 4 1    2    
080310  0.5 0.0 0.0 0.0 1 1    1    
440722  0.5 0.0 0.0 0.0 2 1 1   1    
230120  0.4 0.0 0.0 0.0 13 2 2       
261690  0.4 0.0 0.0 0.0 1 1 1       
210111  0.4 20.0 0.0 0.0  1  1  1    
732111  0.3 0.0 0.0 0.0 1 1    1    
240110  0.3 0.0 0.0 0.0 2 1 1   1    
200899  0.3 0.0 - … 3 1    3  3 4 
230990  0.3 42.8 52.0 … 2 4 4 5  2 2 8 4 
151190  0.3 0.0 7.2 … 2 1 2  1   1 4 
200891  0.3 0.0 - 0.0 1 1    1  1  
442199  0.3 0.0 0.0 0.0 12 2    1    
 88.2    67 58 29 16 2 21 18 26 16 
 
6. Equivalent figures for EFTA States'  top 25 exports in Ecuador can be found in Table A1.5. 
In 2017-2019 they covered between 66 and 101 tariff lines, accounting for between 63.3% and 79% 
of their global exports ; counting common products as one ,29 they represent a total of 69 products 
at the six -digit level. Some of these products were already MFN duty free prior to the Agreement's 
entry in to force – 7 for Iceland, 10 for Norway and 9 for Switzerland. All of Norway's and 
Switzerland's top remaining export products will be liberalized (at the latest in 2036 and 2029 
respectively). One of Iceland's export - fish flour - will remain dutiable; i t is subject to the price band 
and in 2021 faced an average MFN rate of 15%.  
 
29 Products common to Iceland and Norway: 0302.14, 0303.54, 2710.19, 7601.20; products common to 
Norway and Switzerland: 2716.00 and 3004.90.   
  WT/REG463 /1 
 
- 43 - Table A1. 5 Ecuador: Market access opportunities under the agreement for EFTA Parties' top 25 exports  to the world , 2017 -2019   
ICELAND  NORWAY  SWITZERLAND  
Top exports  Access conditions to Ecuador's 
import markets  Top exports  Access conditions to Ecuador's 
import markets  Top exports  Access conditions to 
Ecuador's import markets  
HS code  
Share in global exports 
(%) MFN 2020  Free under 
the Agr ee-
ment  
HS code  
Share in global exports 
(%) MFN 2020  Free under the 
Agreement  
HS 
code  
Share in global  
 exports (%)  MFN 2020  Free under 
the 
Agreement  Avg. MFN 
applied rate (%)  No. of lines  
2020  
2024  
Remain dutiable  
Avg. MFN  
applied rate (%)  No. of lines  
2020  
2024  
2029  
2036  
Avg. MFN 
applied rate (%)  No. of lines  
2020  
2024  
2029  Duty -free 
Dutiable  
Duty -free 
Dutiable  
Duty -free 
Dutiable  
760110  28.2 0.0 1     270900  26.8 10.0  1  1   710812  18.6 0.0 1     
030444  7.1 30.0  1 1   271121  22.4 5.0  1 1    300490  12.8 5.7  7  7  
030471  5.1 30.0  1 1   030214  5.8 30.0  1 1    300215  8.4 0.0 3     
230120  3.2 15.0  3   3 271012  3.0 1.2 15 2 1  1  711319  3.7 30.0  1   1 
760429  3.1 5.0  2 1 1  760120  2.8 0.0 1      910221  3.3 30.0  1   1 
760511  2.9 0.0 1     271019  2.5 3.0 19 9 3 6   710813  2.4 0.0 1     
720221  2.8 0.0 1     271112  1.1 0.0 1      910121  1.4 30.0  1   1 
760120  2.6 0.0 1     750210  1.0 0.0 1      293399  1.3 0.0 4     
030562  2.1 25.0  1 1   271111  1.0 0.0 1      293359  1.1 0.0 7     
030354  2.1 0.0 1     292429  1.0 0.6 8 1  1   300439  0.9 5.0  3  3  
760719  1.7 0.0 1     030441  0.8 30.0  1 1    910211  0.8 30.0  1   1 
030532  1.6 30.0  1 1   271113  0.8 0.0 1      300212  0.8 0.8 5 1  1  
271019  1.6 3.0 19 9 3 6  271600  0.7 0.0 1      293719  0.8 0.0 2     
150420  1.5 10.0  2 2   030481  0.5 30.0  1 1    902110  0.8 5.0  2 2   
030214  1.5 30.0  1 1   030354  0.4 0.0 1      090121  0.7 22.5  2   2 
160521  1.4 30.0  1 1   890190  0.4 5.0 1 2  2   901890  0.6 0.0 2     
890200  1.4 5.0 1 2 1 1  880330  0.4 0.0 1      710239  0.6 0.0 1     
030473  1.4 30.0  1 1   280469  0.4 0.0 1      220299  0.6 30.0  2   2  
  WT/REG463 /1 
 
- 44 - ICELAND  NORWAY  SWITZERLAND  
Top exports  Access conditions to Ecuador's 
import markets  Top exports  Access conditions to Ecuador's 
import markets  Top exports  Access conditions to 
Ecuador's import markets  
HS code  
Share in global exports 
(%) MFN 2020  Free under 
the Agr ee-
ment  
HS code  
Share in global exports 
(%) MFN 2020  Free under the 
Agreement  
HS 
code  
Share in global  
 exports (%)  MFN 2020  Free under 
the 
Agreement  Avg. MFN 
applied rate (%)  No. of lines  
2020  
2024  
Remain dutiable  
Avg. MFN  
applied rate (%)  No. of lines  
2020  
2024  
2029  
2036  
Avg. MFN 
applied rate (%)  No. of lines  
2020  
2024  
2029  Duty -free 
Dutiable  
Duty -free 
Dutiable  
Duty -free 
Dutiable  
030391  1.3 30.0  1 1   300490  0.4 5.7  7  7   271600  0.6 0.0 1     
030389  1.2 0.0 2     030551  0.4 25.0  1 1    300420  0.6 5.0  3  3  
030331  1.1 30.0  1 1   720230  0.3 0.0 1      970110  0.5 30.0  1   1 
030472  1.1 30.0  1 1   843143  0.3 2.5 1 1 1    910129  0.5 30.0  1   1 
030572  1.0 30.0  1 1   847990  0.3 15.0  1 1    841199  0.5 5.0  1 1   
902131  1.0 5.0  1  1  841370  0.3 12.5  4   3 1 294190  0.5 0.7 6 1 1   
880240  1.0 5.0  1 1   790111  0.2 0.0 1      300213  0.4 0.0 3     
 79.0  28 31 19 9 3  73.8  55 33 11 17 4 1  63.3  36 28 4 14 10 
Note:  Tariff lines subject to in -quota rates are excluded in the computation; for the calculation of averages, specific rates are excluded, and the ad valorem  parts of alternate 
rates are included.   
 Based on the HS 2017 nomenclature.  
Source:  WTO estimates based on data provided by Ecuador.  WT/REG463 /1 
 
- 45 - 
 
  ANNEX 2  
TARIFF RATE QUOTAS  
1. The table s below provide additional detail on the TRQs granted by Ecuador and Switzerland to 
each other. In all cas es the out -of-quota rate is the MFN rate.  
Table A2.1 Ecuador: TRQs within the Agreement  
Products  Quantitya 
(per year)  TRQs under the Agreement 
MFN 202 0 
HS Code (2017)  In-quota 
rate 
Ecuador   
Cheese  140 tonnes  0406.20.00.00  
0406.30.00.00, 0406.90.40.00, 
0406.90.50.00, 0406.90.60.00, 
0406.90.90.00  Duty-free 20% 
Price band  for all 
the other 5 lines  
 
Table A2. 2 Switzerland/Liechtenstein: TRQs providing preferential treatment within 
WTO TRQs  
Products  Quantitya 
(per year)  TRQs under the Agreement 
HS Code (2017)  In-quota rate  
CHEQ005  
Animals for slaughter; 
meat mainly produced 
on the basis of coarse 
fodder  23,700 tonnes  0206.2210  
1602.10.10  
0206.1091, 0206.4191, 0206.4991  
0206.1011  
0206.3091, 0206.9010  
0206.8010  MFN minus CHF 80  
MFN minus CHF 42.50  
MFN minus CHF 30  
MFN minus CHF 20  
MFN minus CHF 10  
MFN minus CHF 9  
CHEQ006  
Animals for slaughter; 
meat mainly produced 
on the basis of 
concentrated fodder  54,482 tonnes  0207.2791, 0207.4591  
0207.5591, 0207.6091  
 
 
 Duty-free 
CHEQ011  
Egg products other than 
dried 6,866 g ross 
tonnes  0408.1910, 0408.9910,  3502.1910  CHF 71  
CHEQ012  
Bovine semen  20,000 
application units  0511.1010  Duty-free  
CHEQ013  
Cut flowers  4,590 tonnes  0603.1110, 0603.1210, 
0603.1310 , 
0603.1410, 0603.1510, 0603.1911  Duty-free  
 
 
CHEQ014  
Seed potatoes, potatoes 
for processing, table 
potatoes, potato 
products (in potato 
equivalent)  22,250 tonnes  0701.1010  
0701.9010  
0710.9021  
0712.9021  
2005.2021, 2005.2092, 2005.9921  
2005.9951  0 
CHF 3/100 kg brut  
CHF 33/100 kg brut  
CHF 10/100 kg brut  
CHF 45/100 kg brut  
CHF 63/100 kg brut  
CHEQ015  
Vegetables  166,076 tonnes  0709.2011  
 
0703.1013, 0703.1021, 0703.1031, 
0703.1041, 0703.1051, 0703.1061, 
0703.1071, 0704.9018, 0704.9021, 
0704.9031, 0704.9041, 0706.1011, 
0706.1021, 0706.1031, 0706.9018, 
0702.0011, 0702.0021, 0702.0031, 
0702.0091, 0704.1011, 0704.1021, 
0704.1091, 0705.1118, 070 5.1121, 
0705.2111, 0706.9028, 0709.9918, 
0709.9921, 0709.9931, 0705.2911, 
0705.2921, 0705.2931, 0705.2941, 
0705.2951, 0705.2961, 0705.2971, 
0703.9011, 0703.9021, 0704.2011, Duty-free 
 
Between CHF 0.2 and 
CHF 10/100 kg brut  
 
 
 
 
 
 
 
 
 
 WT/REG463  
 
- 46 - 
 
  Products  Quantitya 
(per year)  TRQs under the Agreement 
HS Code (2017)  In-quota rate  
0704.9051, 0704.9061, 0704.9064, 
0704.9071, 0704.9081, 0705.1198, 
0705.1911, 0705.1 921, 0705.1931, 
0705.1941, 0705.1951, 0705.1991, 
0706.9031, 0706.9041, 0706.9051, 
0706.9061, 0707.0011, 0707.0021, 
0707.0031, 0707.0041, 0708.1011, 
0708.1021, 0708.2028, 0708.2038, 
0708.2048, 0708.2098, 0708.9081, 
0709.3011, 0709.4011, 0709.4021, 
0709.4091 , 0709.7011, 0709.9120, 
0709.9941, 0709.9951, 0709.9961, 
0709.9971  Between CHF 0.2 and 
CHF 10/100 kg brut  
 
 
CHEQ016  
Frozen vegetables  4,500 tonnes  0710.8011, 0710.9011  
0710.2110  
ex0710.8011(broccoli)  CHF 27.50  
CHF 33.00  
CHF 22.50  
CHEQ017  
Fresh apples, pears and 
quinces  15,810  tonnes  0808.3022, 0808.4022  
0808.3032, 0808.4032  MFN minus CHF 2.00  
MFN minus CHF 2.50  
CHEQ018  
Fresh apricots, cherries, 
plums and sloes  16,340 tonnes  0809.1018, 0809.2911,  
0809.4013  
 
0809.4093  MFN minus CHF 3.00  
 
 
MFN minus CHF 10.00  
CHEQ019  
Other fresh fruit  13,360 tonnes  0810.1011, 0810.2011  
0810.2021  Duty-free 
CHEQ020  
Fruit for cider and 
distillation  172 tonnes  0808.1011, 0808.3011,  
0808.4011  MFN minus CHF 2.00  
 
CHEQ021  
Seed fruit products  244 tonnes (in 
seed fruit 
equivalent)  2009.9011  CHF 16.00  
 
 
CHEQ022  
Grape juice  100,000 
hectolitres  2009.6910  Duty-free   
CHEQ027  
Bread grains  
 
 70,000  tonnes  1008.5021 (quinoa)  
ex1008.9023 (amaranth)  Duty-free   
Duty-free   
a Within the limits of the WTO TRQ, without specific allocations for Ecuador.  
Source  (both tables) : Annexes II and V to the Agreement and G/AG/N/CHE/11 9. 
 
__________