Which trade bloc consists of Iceland, Liechtenstein, Norway, and Switzerland?

The trade bloc consisting of Iceland, Liechtenstein, Norway, and Switzerland is the European Free Trade Association (EFTA).

EFTA was created in 1960 by the Stockholm Convention as an alternative to the then-European Economic Community, emphasizing free trade rather than political integration or a shared customs union. Its founding members included several European states, but the organization is now made up of four countries: Iceland, Liechtenstein, Norway, and Switzerland.

EFTA is often confused with the European Union because all four members have close economic links with the EU. Iceland, Liechtenstein, and Norway participate in the European Economic Area, giving them access to much of the EU single market. Switzerland is not in the EEA; it manages its relationship with the EU through bilateral agreements. EFTA itself does not make its members EU countries, and it does not function as a customs union. The association also negotiates free-trade agreements with partners worldwide, extending its members’ commercial ties beyond Europe.