US, Jordan reach agreement on reciprocal trade

US President Donald Trump has announced a landmark trade deal with Jordan, Report informs, citing the White House.

The White House said the US-Jordan Agreement on Reciprocal Trade would remove long-standing trade barriers for US exporters and provide new access for key American industries.

According to the statement, the agreement will secure commitments to support peace, boost regional cooperation, strengthen supply chain resilience and promote innovation. The two countries will also work together on investment security, export controls, duty evasion and measures related to non-market policies of third countries.

Under the agreement, Jordan will continue to provide duty-free market access for almost all US goods exported to the country.

Jordan has also committed to improving trade with the United States by enforcing environmental laws, protecting labor rights, including by banning the import of goods produced with forced labor, strengthening intellectual property protection, ensuring fair trade practices and improving customs procedures.

The White House said Jordan would remove non-tariff trade barriers and expand market access for US goods, including agricultural products and motor vehicles.

The agreement builds on the US-Jordan Free Trade Agreement, which entered into force on December 17, 2001.

The White House also noted that Jordan had made major investment commitments related to US industry. Royal Jordanian Airlines purchased six Boeing 787-9 aircraft worth $1.4 billion and signed long-term leasing agreements for additional aircraft worth $500 million. Jordanian pharmaceutical company Hikma Pharmaceuticals also announced plans to invest $1 billion in the United States.

In addition, Jordanian businesses have agreed to purchase more than $300 million worth of raw materials annually from the United States.