What Free Trade Agreements Does the Us Have

Free trade agreements (FTAs) are a crucial part of the global economy, allowing countries to exchange goods and services without the barriers of tariffs, quotas, and other trade restrictions. The United States has entered into several FTAs with other countries and regions of the world. In this article, we`ll take a closer look at the free trade agreements the US has in place.

1. North American Free Trade Agreement (NAFTA)

The North American Free Trade Agreement (NAFTA) is one of the most well-known free trade agreements the US has in place. It was signed in 1994 by the US, Canada, and Mexico, and it eliminated tariffs on almost all goods traded between these three countries. The agreement also created new rules for intellectual property, investment, and trade disputes.

2. Central American Free Trade Agreement (CAFTA)

The Central American Free Trade Agreement (CAFTA) was signed in 2004 by the US and five Central American countries – Costa Rica, El Salvador, Guatemala, Honduras, and Nicaragua – as well as the Dominican Republic. The goal of this agreement was to expand trade between the US and these countries by eliminating tariffs on a wide range of goods and services.

3. US-Australia Free Trade Agreement (AUSFTA)

The US-Australia Free Trade Agreement (AUSFTA) was signed in 2004 and implemented in 2005. It reduced or eliminated tariffs on a range of goods and services traded between the two countries. The agreement also provided for the protection of intellectual property and encouraged increased foreign investment.

4. US-Korea Free Trade Agreement (KORUS)

The US-Korea Free Trade Agreement (KORUS) was signed in 2007 and implemented in 2012. It is one of the most significant trade agreements the US has with an Asian country. The agreement reduced tariffs on a wide range of goods and services, including automobiles and agricultural products. It also provided new protections for intellectual property and encouraged investment between the two countries.

5. Trans-Pacific Partnership (TPP)

The Trans-Pacific Partnership (TPP) was a proposed free trade agreement between the US and 11 other countries in the Asia-Pacific region. The agreement aimed to lower tariffs, eliminate trade barriers, and promote economic growth among the participating countries. However, the US withdrew from the TPP in 2017, and the remaining countries went on to form the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).

In conclusion, free trade agreements are essential for the growth and development of the global economy. The US has several in place with countries across the world, including NAFTA, CAFTA, AUSFTA, KORUS, and the now-defunct TPP. By reducing or eliminating tariffs and other trade barriers, these agreements foster greater trade and foreign investment, benefiting businesses and consumers alike.


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