The United States and Gulf Cooperation Council (GCC) on Thursday signed a Framework Agreement for Trade, Economic, Investment and Technical Cooperation.
The agreement will establish a Joint Committee to discuss areas where both the GCC and United States share mutual interests, including opportunities for enhancing economic, commercial, investment and technical cooperation, increasing the volume of trade and investment between them.
The GCC is comprised of Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates. Total two-way trade (exports plus imports) between the United States and GCC totaled almost $100 billion last year, according to the Office of the U.S. Trade Representative. The GCC countries together ranked 10th as an export market for the United States in 2011 with U.S. goods exports to the region totaling nearly $38 billion. Leading U.S. exports to the GCC region include vehicles, machinery, aircraft, electrical machinery, and optical and medical instruments.
The GCC region collectively was the sixth largest supplier of imports to the United States in 2011 with U.S. goods imports from the region totaling nearly $62 billion. Leading U.S. imports from the GCC include oil, aluminum, fertilizers, and organic chemicals. U.S. foreign direct investment (FDI) in GCC countries was $23.5 billion in 2010.
The United States currently has bilateral trade agreements with all six of the individual GCC member states. This framework agreement will “supplement and build upon – not replace – our engagement with individual member states on bilateral issues,” USTR said.
U.S., GCC strengthen trade ties
