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US and Jordan announce trade deal

Created at 21 Jul · 4:13 PM1 source↑ Market-relevant
IN SHORT

The United States and Jordan have announced a trade agreement aimed at removing barriers for U.S. exporters and increasing market access for American industries, including agricultural products and motor vehicles.

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Key Numbers

$1.4 billionvalue of Royal Jordanian Airlines aircraft purchase
$500 millionvalue of additional aircraft leasing agreements
$1 billionHikma Pharmaceuticals investment in the U.S.
$300 millionannual purchase of U.S. raw materials by Jordanian businesses

Who's Involved

United States
announced trade deal with Jordan
Jordan
agreed to remove trade barriers and expand market access
Donald J. Trump
President who announced the trade deal
White House
issued statement on the trade deal
Royal Jordanian Airlines
purchased Boeing aircraft
Hikma Pharmaceuticals
announced U.S. investment
US and Jordan announce trade deal

↳ Why This Matters

The trade deal signifies an effort to bolster economic ties between the U.S. and Jordan, potentially leading to increased exports for American businesses and greater regional stability.

Key facts

  • The U.S. and Jordan have signed a trade agreement.
  • Jordan will remove non-tariff trade barriers and expand market access for U.S. goods.
  • The deal aims to reinforce peace, boost regional cooperation, and enhance supply chain resilience.
  • Jordan will continue to offer duty-free market access for nearly all U.S. exports.
  • Jordan committed to improving trade practices, including environmental and labor law enforcement.

The United States and Jordan have announced a new trade agreement designed to eliminate barriers for American exporters and grant increased access to critical U.S. industries. The White House stated that under the terms of the deal, Jordan will dismantle non-tariff trade obstacles and broaden market entry for U.S. products, including agricultural goods and motor vehicles.

This agreement, referred to as the U.S.-Jordan Agreement on Reciprocal Trade, aims to foster peace, enhance regional cooperation, and strengthen supply chains. Jordan has committed to maintaining duty-free market access for nearly all U.S. goods, alongside commitments to enforce environmental and labor laws, protect intellectual property, and ensure fair trade practices. The two nations will also collaborate on addressing non-market policies of third countries and cooperate on investment security and export controls.

As part of the announcement, Royal Jordanian Airlines committed to purchasing six Boeing 787-9 aircraft valued at $1.4 billion, with additional leasing agreements worth $500 million. Furthermore, Jordanian pharmaceutical manufacturer Hikma Pharmaceuticals plans to invest $1 billion in the United States, and Jordanian businesses have agreed to purchase over $300 million annually in raw materials from the U.S.

Frequently asked questions

Jordan will remove non-tariff trade barriers, expand market access for U.S. goods including agricultural products and motor vehicles, and continue to provide duty-free market access for almost all U.S. exports. The agreement also includes commitments on environmental laws, labor rights, intellectual property, and cooperation on investment security and export controls.

Royal Jordanian Airlines purchased six Boeing 787-9 aircraft for $1.4 billion and signed leasing agreements for additional aircraft valued at $500 million. Hikma Pharmaceuticals will invest $1 billion in the U.S., and Jordanian businesses will purchase over $300 million annually in U.S. raw materials.

The agreement aims to reinforce peace, boost regional cooperation, enhance supply chain resilience and innovation, and foster reciprocal trade conditions that benefit American workers and industries.

What Happens Next

01Jordan will continue to provide duty-free market access for almost all U.S. goods.
02Jordan will enforce environmental laws and protect labor rights.
03The U.S. and Jordan will cooperate on investment security and export controls.

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Cadence

How It Developed

The United States announced a trade deal with Jordan.
Jordan will remove non-tariff trade barriers and expand market access for U.S. goods.
The agreement includes commitments to reinforce peace, boost regional cooperation, and enhance supply chain resilience.
Jordan will continue to provide duty-free market access for almost all U.S. goods.
Jordan committed to enforcing environmental laws, protecting labor rights, strengthening intellectual property protection, and ensuring fair trade practices.
The U.S. and Jordan will address non-market policies of third countries and cooperate on investment security, export controls, and duty evasion.
Royal Jordanian Airlines purchased six Boeing 787-9 aircraft valued at $1.4 billion and signed long-term leasing agreements for additional aircraft valued at $500 million.
Jordanian Pharmaceutical manufacturer Hikma Pharmaceuticals announced it will invest $1 billion in the United States.

Sources

T1
US announces trade deal with JordanReuters
T2
PDF FAQs about U.S. tariffs on Jordanadmin.jordanexportportal.gov.jo
T2
Fact Sheet: President Donald J. Trump Announces Trade Deal with Jordan ...whitehouse.gov

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