Zero Tariff Agreement
Maldives established diplomatic ties with Peoples Republic of China on 14th October 1972. First bilateral Agreement with China was signed on 28th August 1981. Since then Maldives has signed several bilateral agreements and Memorandum of Understanding with China. Among them are Agreements on Economic and Technical Cooperation, Mutual Exemption of Visas and Visa Fees, on Education Cooperation, on Cultural Cooperation and various other important areas of mutual interest.
Although Maldives and China began their economic and technological cooperation in 1981 and direct trade was restored in 1982, no significant trade was conducted until 2002, when Maldives-China trade volume totaled US$ 2.977 million, of which Maldives imports accounted for US$ 2.975 million and its exports US$ 2,000.
Since then the volume of trade has increased significantly with imports from China reaching US$ 68.9 million and exports reaching US$ 26.65 thousand. While the trade balance is in favor of China, the increase in exports from Maldives to China in percentage terms is quite significant. Major exports to China include fish and fisheries products. While major imports from China includes textiles, steel/iron, mobile phones, ceramic tiles, electric products etc.