Free Trade Agreement Jordan

For EFTA-Jordan trade statistics, see the EFTA trade statistics tool The JOFTA came into force on 17 December 2001. Under the agreement, virtually all Jordanian products arrive in the United States duty-free. The Jordanian Free Trade Agreement does not provide for an exemption from the Goods Processing Tax (MPF). The free trade agreement with Jordan is a significant and comprehensive liberalisation on a wide range of trade issues. It will remove all tariff and non-tariff barriers to bilateral trade in virtually all industrial and agricultural products within ten years. At the last meeting of the Joint Committee in May 2016, the United States and Jordan discussed the work, agriculture, in particular current technical barriers to trade, the adoption of the World Trade Organization (WTO) Trade Facilitation Agreement and adherence to the WTO Public Procurement Agreement. The parties opened a dialogue to outline concrete measures to promote bilateral trade and investment, as well as between Jordan and other Middle Eastern countries. Following the meetings, the issue of authorizing the importation of poultry from the United States was resolved to allow the importation of American poultry into Jordan. In 2017, $8 million in poultry imports were exported to Jordan. In July 2016, the EU and Jordan agreed to simplify the rules of origin applied by Jordanian exporters in their trade with the EU. Both parties reviewed and improved this initiative in December 2018. Intellectual property protection provisions (Article 17 and Appendix VI) include, among other things, patents, trademarks, copyrights and geographical indications. The U.S.-Jordan Free Trade Agreement, signed on September 28, 2001, was the first free trade agreement signed by the United States with an Arab country (and the fourth free trade agreement as a whole, behind Israel, Canada and Mexico).

Products must be made up of at least 35% Jordanian content in order to benefit from commercial benefits. [1] The empirical effects of the U.S.-Jordan free trade agreement are not widely appreciated. Economic relations between Jordan and the United States have increased considerably since the agreement: bilateral trade has increased from $31 million in 1999 to $1.1 billion in 2011 and, in 2014, the total volume of goods traded between the two countries was $3.45 billion. The kingdom soon became a hub for apparel manufacturing, as American companies such as Walmart and Target established factories in the country. The agreement has stimulated the garment industry, which has become a leading export sector for the country; In 2014, $1.35 billion worth of clothing was exported from the kingdom, representing 15.2% of Jordan`s total exports. The United States continued to cooperate with Jordan on labour standards. In 2016, the Ministry of Labour (DOL) removed Jordanian clothing from its list of products produced by child labour or forced labour, on the grounds that the incidence of forced labour in Jordan`s clothing sector had decreased significantly. The United States and Jordan have sought to build on this success through ongoing efforts under the 2013 Jordanian Workers` Working and Living Conditions Implementation Plan, signed in 2013.

The plan addresses labour problems in Jordanian garment factories, including concerns about anti-union discrimination against foreign workers, housing conditions for foreign workers, and discrimination and sexual harassment.