The EU Trade Agreement Jordan: An Overview
The European Union (EU) and the Hashemite Kingdom of Jordan signed a trade agreement in 2002, which came into effect on May 1, 2002. The agreement aimed to promote trade and investment relations between the two parties, leading to the eventual liberalization of trade and services, as well as the establishment of a free trade area.
The EU-Jordan trade agreement is based on the principles of non-discrimination, transparency, and fair competition. It covers a wide range of sectors, including agriculture, fisheries, services, and intellectual property rights. The agreement also includes provisions on labor and environmental standards, aimed at ensuring that trade liberalization does not lead to a race to the bottom in terms of social and environmental protection.
One of the key features of the EU-Jordan trade agreement is the gradual elimination of tariffs on goods traded between the two parties. This process started in 2002 and is expected to be completed by 2020. The agreement also includes provisions on customs cooperation, aimed at facilitating trade and preventing fraud and smuggling.
In addition to tariff reductions, the EU-Jordan trade agreement also provides for the liberalization of trade in services. This includes the opening up of markets for financial services, telecommunications, transportation, and other services. The agreement also aims to improve the investment climate in Jordan, by providing protections for EU investors and encouraging the development of new investment opportunities.
The EU-Jordan trade agreement has had a positive impact on trade and investment relations between the EU and Jordan. The value of EU exports to Jordan has increased significantly since the agreement came into effect, and the agreement has helped to attract new investment to Jordan, particularly in the sectors covered by the agreement.
However, the EU-Jordan trade agreement has also faced some challenges. Jordan has a relatively small economy, and some sectors have found it difficult to compete with EU imports. In addition, the ongoing conflict in Syria has had a negative impact on Jordan`s economy and has made it more difficult to attract investment.
Overall, the EU-Jordan trade agreement represents an important step towards deeper trade and investment relations between the EU and Jordan. While there are challenges to overcome, the agreement provides a framework for cooperation and economic development that will benefit both parties in the long run.
Recent Comments