Trade Agreements Morocco

As part of their Association Agreement, which entered into force in March 2000, the EU and Morocco concluded a free trade area to liberalise mutual trade in goods. They then developed the free trade agreement through an agreement on trade in agricultural, agricultural, food and fisheries products and a protocol establishing a bilateral dispute settlement mechanism, both of which entered into force in 2012. ustr.gov/trade-agreements/free-trade-agreements/morocco-fta/final-text. Morocco joins Israel and Jordan as the third North African/Middle East nation-state to sign a free trade agreement with the United States. [3] This agreement was a positive step towards the Middle East Free Trade Initiative introduced by President Bush in May 2003. [5] U.S.-Morocco Free Trade Agreement website: www.trade.gov/us-morocco-free-trade-agreement Office of the U.S. Trade Representative: United States-Morocco Free Trade Agreement (ustr.gov/trade-agreements/free-trade-agreements/morocco-fta) In 2004, Morocco signed the Agadir Agreement with Jordan, Egypt, and Tunisia. This required all parties to eliminate all tariffs on trade between them and to harmonize their legislation on customs standards and procedures. The Agadir Agreement entered into force in July 2006 and is being implemented by the Agadir Technical Unit in Amman.

Moroccan trade continues to be dominated by its main import and export partner, France, although France`s share of Moroccan trade is declining to the benefit of the United States, the Persian Gulf region and China. If the EU is considered a single entity, it is by far Morocco`s largest trading partner. Morocco has also begun negotiations on a free trade agreement with Canada and several West African countries. On 22 February 2019, the Moroccan Board of Governors adopted a bill ratifying the Agreement Establishing the African Continental Free Trade Area (AfCFTA). The aim is to create a single market for goods and services in 54 countries, enable the free movement of business travellers and investment, and create a continental customs union to streamline trade and attract long-term investment. The agreement is seen as crucial for growth and job creation for Africa and its 1.27 billion people. The start of trade under the AfCFTA agreement began on 1 January 2021 and Morocco has not yet ratified the agreement. Morocco celebrated September 24. In February 2017, it also applied to become a member of the Economic Community of West African States (ECOWAS). In November 2017, Morocco began negotiations with the South American trade bloc Mercosur on the creation of a free trade area. Morocco has not yet obtained its membership in the two trading blocs. Cumulation of origin means that a good originating in a partner country can be processed or added to a product in a second partner country and is nevertheless considered the “originating product” of that second partner country for the purposes of a particular trade agreement.

Moroccan-American trade has increased from $1.4 billion since the application of the free trade agreement signed between the two countries in 2006 to $2.3 billion in 2007, said former Moroccan Minister of Trade and Economy Salaheddine Mezouar in 2007. Mezouar pointed out that Moroccan clothing exports to the United States grew by 122 percent in 2006, while perfume sales increased by 41 percent, noting that U.S. investment in Morocco exceeded $1.5 billion, mainly in tourism and clothing. In 2006, Moroccan-American trade increased by 44% compared to 2005. Moroccan exports to the United States totalled $521.2 million, while U.S. exports to Morocco reached $875.5 million, up 67% from 2005. Under the free trade agreement, Morocco can export a duty-free quota of 15 million square meters of finished products and 500 tons of fiber and cotton yarns and materials from less developed sub-Saharan Africa to the United States. Morocco wants to expand its textile markets due to strong competition outside the EU after the EU abolished quotas for Asian textiles in January 2005. [2] Moroccan exports to the United States increased by 25% in 2007 and found that trade was facilitated and promoted by the free trade agreement between the two countries. The establishment of a direct line of merchant navigation between Tangier and the ports of the East Coast of the United States would be an essential step in taking trade to the next level.

As part of its policy of economic liberalization, Morocco has concluded free trade agreements with the GCC countries, giving Morocco 1 of the largest free trade networks in the world and giving it duty-free access to a huge market. [4] Since the FTA entered into force, the U.S. surplus in trade in goods with Morocco has grown from $79 million in 2005 (the year before it entered into force) to $1.8 billion in 2011. U.S. goods exports totaled $2.8 billion in 2011, up 45 percent year-on-year. Corresponding U.S. imports from Morocco amounted to US$996 million, an increase of 45 percent. Morocco is now the 55th largest export market for U.S. products. The United States-Morocco Free Trade Agreement (or Morocco FTA) is a bilateral trade agreement between the United States and Morocco.

The agreement was signed on June 15, 2004, followed by the signing by U.S. President George W. Bush of the USMFTA Implementation Act on August 17, 2004. [1] The U.S. House of Representatives ratified the pact on July 22, 2004 by a vote of 323 to 99. The United States Senate passed the bill unanimously on July 21, 2004. The Moroccan Free Trade Agreement entered into force on 1 January 2006. [2] In trade and economic cooperation, the volume of bilateral trade has steadily increased, reaching $1.16 billion in 2004,” Wu said.

Nothing essential in bilateral cooperation is in traditional areas such as fisheries, agriculture, health and engineering projects. Morocco is committed to making its business environment more transparent and open to international companies by providing companies with an effective legal framework and a safe working environment. The U.S. and Moroccan governments have agreed to publish in advance their current trade and investment laws, as well as any proposed laws. Corruption in any form is prohibited, whistleblowers enjoy protection, and U.S. companies enjoy the same rights as Moroccan companies when investing in the country. Describes the trade agreements in which this country is involved. Provides resources for U.S.

companies to obtain information on the use of these agreements. The United States-Middle East Free Trade Area (USMFTA) is expected to create new market access for U.S. consumer and industrial products. opportunities for farmers and ranchers; banks, insurance companies, securities; telecommunications; and e-commerce. The agreement also contains assurances for U.S. companies regarding corruption, intellectual property, trademarks, copyrights, patents and trade secrets. [6] In order to prevent exploitation by both parties, there are also provisions to protect the environment and workers` rights. It also makes the legal framework within which disputes must be resolved more transparent in order to reduce the risk to the United States.

Enterprise. [7] Since most of the United States already has these mechanisms in place, most of the update and reform will be carried out by the Moroccan government. For example, just before the agreement (signed in 2004), a press release from the Office of the U.S. Trade Representative announced major revisions to Moroccan labor law, which were spurred on by the proposed signing of the agreement. The pan-European-Mediterranean cumulation system of origin was created in 2005. It brings together the EU, Morocco and other partners in Europe and the Mediterranean to support regional integration by creating a common system of rules of origin. Rules of origin are the technical criteria that determine whether a particular product qualifies for duty-free or other preferential access under a particular trade agreement. The overall objective of the negotiations is to create new trade and investment opportunities and ensure a better integration of the Moroccan economy into the EU`s single market. The Deep and Comprehensive Free Trade Agreement also aims to support the ongoing economic reforms in Morocco and to bring Moroccan legislation in trade-related areas closer to that of the EU. In Rabat in 2005, the heads of government of the parliaments of China and Morocco pledged to work for the development of bilateral relations in all fields, including trade. [3] In 2005, Morocco ranked 89th among U.S. commercial importers in U.S.

dollars and 79th among U.S. exporters. This equates to U.S. trade with Morocco of less than 0.1% of its total imports and exports. In 2003, Morocco exported about 2.9% of its total exports to the United States, while it imported about 4.1% of its total imports from the United States. These figures show that U.S. trade with Morocco is almost zero compared to Morocco`s trade with the U.S. Therefore, the USMFTA could have a much greater impact on the Moroccan government. .