U.S.–Middle East Free Trade Area

International trade agreements
Part of a series on
Stages of economic integration around the World
Common market (EEA–Switzerland, ASEAN) Customs union (CAN, EAC, EUCU, SACU) Multilateral Free Trade Area (CEFTA, CISFTA, COMESA, EFTA, GAFTA, NAFTA, SAFTA, AANZFTA, PAFTA, SADCFTA)
Proposed trade agreements
Comprehensive Economic and Trade Agreement (CETA) Transatlantic Trade and Investment Partnership (TTIP) Trade in Services Agreement (TiSA) Trans-Pacific Partnership (TPP)
Related concepts
Investor state dispute settlement (ISDS) or Investment court system (ICS) Bilateral investment treaty Special economic zone Free trade zone

The U.S. MEFTA initiative started in 2003 with the purpose of creating a U.S. Middle East Free Trade Area by 2013.

The U.S. objective with this initiative has been to gradually increase trade and investment in the Middle East, and to assist the Middle East countries in implementing domestic reforms, instituting the rule of law, protecting private property rights (including intellectual property), and creating a foundation for openness, economic growth, and prosperity.

Among the stated objectives are:

Screenshot from official US-MEFTA website, 15-11-2004

Actively supporting WTO membership of countries in the Middle East and Maghreb
Expanding the Generalized System of Preferences (GSP's) that currently provides duty-free entry to the U.S. market for some 3,500 products from 140 developing economies
Negotiating Trade and Investment Framework Agreements (TIFA's) that establish a framework for expanding trade and resolving outstanding disputes
Negotiating Bilateral Investment Treaties (BIT's) with interested countries by obligating governments to treat foreign investors fairly and offering legal protection equal to domestic investors
Negotiating comprehensive Free Trade Agreements (FTA's) with willing countries that demonstrate a commitment to economic openness and reform
Helping to target more than $1 billion of annual U.S funding and spur partnerships with private organizations and businesses that support trade and development

U.S. - Middle East Free Trade Efforts
Country	FTA	WTO	GSP
Israel
Jordan
Morocco
Bahrain
Egypt
Lebanon		Negotiating Accession
Algeria		Negotiating Accession
Tunisia
Saudi Arabia			Not Eligible
Oman
Kuwait			Not Eligible
UAE	Announced		Not Eligible
Yemen		Negotiating Accession
Qatar			Not Eligible
Syria			Not Eligible
Iraq		Observer Status	Not Eligible
Libya		Negotiating Accession	Not Eligible
Iran			Not Eligible
Note: The Palestinian Authority participates in the U.S. — Israel FTA.

Current Agreements

US Agreements

The US currently has several bilateral free trade agreements with nations in the region.

Middle Eastern Agreements

Additionally many potential MEFTA states are already members of the multilateral Greater Arab Free Trade Area.

Other states are members of the multilateral Arab Maghreb Union.

The following, expected to constitute MEFTA,^[1] are not members of existing Middle Eastern agreements:

Potential Issues

The single largest hurdle to MEFTA is the inclusion of Israel. Additional complications exist in getting agreements between the US and nations like Iran and Syria. Complications could still exist in getting trade with Lebanon and the Palestinian Authority given continuous Israeli control of occupied territories,^[2] and the actions of militant groups such as Hamas and Hezbollah.

One notable exception to this rule is the production of food. While most foods may be impractical to import from the United States where they are relatively cheap, eliminating barriers of trade among Arab states may lead to decreased prices of regionally grown food and protests among farmers.

References

↑ Staff, "Middle East Free Trade Area: Progress Report", Congressional Research Service, 1 June 2006
↑ Israel and the Palestinians: Key terms, BBC

External links

United States free-trade agreements

Existing

Bilateral	Australia Bahrain Chile Colombia Israel Jordan Morocco Oman Panama Peru Singapore South Korea

Multilateral	Dominican Republic–Central America Free Trade Agreement (DR-CAFTA) North American Free Trade Agreement (NAFTA)

Proposed

Bilateral	Ecuador Ghana Indonesia Kenya Kuwait Malaysia Mauritius Mozambique New Zealand Taiwan United Arab Emirates Uruguay

Multilateral	Free Trade Area of the Americas (FTAA) Middle East Free Trade Area (MEFTA) Transatlantic Free Trade Area (TAFTA) Trade in Services Agreement (TISA) Trans-Pacific Partnership (TPP) Transatlantic Trade and Investment Partnership (TTIP)

Suspended	Southern African Customs Union (on hold since 2006) Thailand (on hold after 2006 coup) Qatar (on hold since 2006)

Defunct or
expired

Canada (became part of North American Free Trade Agreement)
Canada–United States Automotive Products Agreement

This article is issued from Wikipedia - version of the 10/28/2016. The text is available under the Creative Commons Attribution/Share Alike but additional terms may apply for the media files.