After a long journey from conception to gestation, the U.S.-Colombia Free Trade Agreement (FTA) will become a reality on May 15.
The accord will render clear benefits for both sides. Colombia remains the third largest market in Latin America for U.S. exports and the second most important for small- and medium-sized firms. The two sides enjoy a $35 billion trade merchandise relationship. The FTA will boost U.S. exports by $1.1 billion and provide access to Colombia’s $180 billion services market.
Impacts on the United States: Although the FTA has a number of phase-out provisions, the United States will gain immediate tariff eliminations on almost 100 percent of aerospace, IT and textiles and apparel exports and half of all U.S. farm exports. Double-digit tariffs on machinery, transport equipment, building and consumer products will drop to zero. For Florida, Colombia’s No. 2 trade partner, more than 50 percent of exports include fall into these categories.
Even more beneficial than tariff reductions on U.S. exports are the FTA provisions governing services, investment, government procurement and intellectual-property protection — areas where U.S. companies have big competitive advantages.
Read : “Colombia FTA becoming a reality” an article by Miami Herald