Free Trade Agreement Countries with Usa

Free trade agreements (FTAs) are bilateral or multilateral agreements that eliminate or reduce tariffs, quotas, and other barriers to trade between countries. The United States has entered into several FTAs with other countries in an effort to promote trade and expand its economic influence globally. In this article, we will take a closer look at the free trade agreement countries with the USA.

1. NAFTA – North American Free Trade Agreement

The North American Free Trade Agreement (NAFTA) is an agreement between the United States, Canada, and Mexico. It was signed in 1994 and became effective in 1995. NAFTA eliminates tariffs on goods traded between the three countries and removes non-tariff barriers to trade. NAFTA has created a single market for goods and services worth over $1 trillion.

2. CAFTA-DR – Central America-Dominican Republic Free Trade Agreement

The Central America-Dominican Republic Free Trade Agreement (CAFTA-DR) is an agreement between the United States and five Central American countries (Costa Rica, El Salvador, Guatemala, Honduras, and Nicaragua) and the Dominican Republic. The agreement, which was signed in 2004, eliminates tariffs on most products and services traded between the countries.

3. KORUS – Korea-U.S. Free Trade Agreement

The Korea-U.S. Free Trade Agreement (KORUS) is an agreement between the United States and South Korea. The agreement, which was signed in 2007, eliminates tariffs on most goods traded between the two countries. KORUS has increased trade between the United States and South Korea and has opened up new markets in Asia for U.S. businesses.

4. USMCA – United States-Mexico-Canada Agreement

The United States-Mexico-Canada Agreement (USMCA) is a new trade agreement that replaces NAFTA. The agreement was signed in November 2018 and came into effect on July 1, 2020. Like NAFTA, the USMCA eliminates tariffs on goods traded between the three countries. However, the USMCA includes new provisions on intellectual property, digital trade, and labor rights.

5. TPP – Trans-Pacific Partnership

The Trans-Pacific Partnership (TPP) was a trade agreement between the United States and 11 other countries (Australia, Brunei Darussalam, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam). The agreement, which was signed in 2016, aimed to create a free trade area in the Asia-Pacific region. However, the United States withdrew from the TPP in 2017 and the remaining countries negotiated a new agreement called the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).

In conclusion, the United States has entered into several free trade agreements with other countries. These agreements have created new opportunities for U.S. businesses and have increased trade between the United States and its partners. It is important for businesses to understand the benefits and requirements of these agreements in order to take advantage of the opportunities they offer.