A free trade agreement is a contract between two or more countries to allow ease of trade by reducing trade barriers. An open and competitive international marketplace is created through free trade agreements. The United States has free trade agreements in force with 17 countries.
5. Costa Rica
6. Dominican Republic
7. El Salvador
Pending Free Trade Agreements
The United States has also signed free trade agreements with Colombia, Korea, and Panama. However, the implementation of each agreement can only take place when the congress enacts the legislation and approves them.
The Asia-Pacific trade agreement, formerly known as the Bangkok Agreement, and currently also known as the Trans-Pacific Partnership (TPP) Agreement is an agreement between the twelve countries that border The Pacific Ocean. The aim of this treaty was to deepen the economic ties between these nations. The United States was in negotiation with the treaty with the sole objective of shaping a high-standard broad-based regional pact. However, the U.S. Trade Representative (USTR) issues a letter to the signatories of TPP regarding a withdrawal from the agreement under the guidance from the President of the United States.
U.S Bilateral Trade Agreements
Bilateral trade agreements are formed between two countries to promote trade and commerce among them. The United States is also involved with regional and bilateral trade agreements.
-Seeking Congressional approval for the Reconstruction Opportunity Zones (ROZ) initiative, for stabilizing Afghanistan and Pakistan;
-Promoting the Pathways to Prosperity in the Americas, an initiative to extend the benefits of trade throughout societies in participating Western Hemisphere nations.
-Coordinating the Department’s work on the bilateral dialogues like the U.S-China Strategic and Economic Dialogue, the U.S.-Brazil Economic Partnership Dialogue, and the U.S.-Turkey Economic Partnership Commission;
-Supporting the U.S.-E.U. Transatlantic Economic Council (TEC) and the Transatlantic Business Dialogue (TABD);
-Promoting development in Africa through the implementation of the Africa Growth and Opportunity Act;
-Assisting the U.S. Ambassador to the Asia Pacific Economic Cooperation (APEC) forum with the Summit, Ministerial, Senior Official, and Committee on Trade and Investment meetings;
-Working to expand trade with the Middle East and North Africa by promoting bilateral and regional cooperation;
-Managing the Economic Empowerment in Strategic Regions(EESR) initiative, which promotes private sector economic development in regions where poverty, unemployment, and lack of opportunity fuel support and sympathy for extremism.