US, Jordan sign trade agreement
Note: AI technology was used to generate this article’s audio.
Jordan and the United States signed a landmark trade agreement on Tuesday aimed at strengthening economic ties, enhancing regional security cooperation, and modernizing the framework of their 2000 Free Trade Agreement.
The Reciprocal Trade Agreement was signed in Washington by Jordanian Minister of Industry, Trade, and Supply Yarub Qudah and US Trade Representative Jamieson Greer.
The agreement updates bilateral trade rules with new provisions covering tariffs, digital trade, supply chain security, customs procedures, and investment cooperation.
Key provisions
Under the agreement, Jordan will continue to provide duty-free access for US goods under the existing 2000 Free Trade Agreement, while the United States will cap reciprocal tariffs on Jordanian imports at 10%.
The deal also strengthens market access for Jordan's textile and garment sector, one of the country's largest export industries, by preserving preferential access to the US market. This enhanced access comes as bilateral momentum builds, with Jordanian exports to the US reaching 595 million JOD ($839 million) in the first four months of 2026 alone, led by apparel and textiles, jewelry, electrical machinery, and pharmaceutical products.
Jordan has also agreed to eliminate special taxes on new US-manufactured vehicles exported directly from the United States and remove non-tariff import licensing requirements that previously limited access for certain American products.
Digital trade and security cooperation
The agreement introduces new rules governing digital trade, prohibiting discriminatory digital services taxes on US companies and banning forced transfers of technology or source code. Both countries also committed to maintaining a permanent moratorium on customs duties for electronic transmissions.
On security, Jordan agreed to strengthen cooperation with the United States on export controls, investment screening, and sanctions enforcement. The agreement includes commitments to coordinate on national security measures and restrict transactions involving entities subject to US sanctions.
