Jordan – US Free Trade Area Agreement

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A GREEMENT BETWEEN THE U NITED STATES OF A MERICA
AND THE
H ASHEMITE K INGDOM OF JORDAN
ON THE ESTABLISHMENT OF A FREE TRADE A REA
PREAMBLE
The Government of the United States of America (“United States”) and the Government of the
Hashemite Kingdom of Jordan (“Jordan”),
Desiring to strengthen the bonds of friendship and economic relations and
cooperation between them;
Wishing to establish clear and mutually advantageous rules governing their trade;
Aspiring to promote their mutual interest through liberalization and expansion
of trade between their countries;
Reaffirming their willingness to strengthen and reinforce the multilateral
trading system as reflected in the World Trade Organization, and to contribute to regional and
international cooperation;
Recognizing
that Jordan’s economy is still in a state of development and faces special
challenges;
Recognizing the objective of sustainable development, and seeking both to protect and
preserve the environment and to enhance the means for doing so in a manner consistent with
their respective needs and concerns at different levels of economic development;
Recognizing that their relations in the field of trade and economic activity
should be conducted with a view to raising living standards and promoting
economic growth, investment opportunities, development, prosperity, employment and the
optimal use of resources in their territories;
Desiring to foster creativity and innovation and promote trade in goods and
services that are the subject of intellectual property rights;
Recognizing the need to raise public awareness of the challenges and
opportunities offered by trade liberalization;
Wishing to raise the capacity and international competitiveness of their
goods and services;
Desiring to promote higher labor standards by building on their respective international
commitments and strengthening their cooperation on labor matters; and
Wishing to promote effective enforcement of their respective environmental and labor
law;
HAVE AGREED AS FOLLOWS:

2
1 For purposes of this Agreement, “schedule” shall include both the schedule and
headnotes. A
RTICLE 1: ESTABLISHMENT OF A FREE TRADE AREA AND RELATIONSHIP TO OTHER
AGREEMENTS
1. The Parties to this Agreement, consistent with Article XXIV of the General Agreement
on Tariffs and Trade 1994 (“GATT 1994”) and Article V of the General Agreement on Trade
in Services (“GATS”), hereby establish a free trade area in accordance with the provisions of
this Agreement.
2. The Parties reaffirm their respective rights and obligations with respect to each other
under existing bilateral and multilateral agreements to which both Parties are party, including
the Marrakesh Agreement Establishing the World Trade Organization (“WTO Agreement”).
3. This Agreement shall not be construed to derogate from any international legal
obligation between the Parties that entitles a good or service, or the supplier of a good or
service, to treatment more favorable than that accorded by this Agreement.
4. Nothing in Article 17 shall be construed to authorize a Party to apply a measure that is
inconsistent with the Party’s obligations under the WTO Agreement.
A
RTICLE 2: TRADE IN GOODS
1. Except as otherwise provided in this Agreement, each Party shall progressively
eliminate its customs duties on originating goods of the other Party in accordance with Annex
2.1 and its schedule
1 to Annex 2.1.
2. For purposes of this Agreement, originating good means an article described in Annex
2.2.
3. Each Party shall accord national treatment to the goods of the other Party in accordance
with Article III of the GATT 1994, including its interpretative notes. To this end, Article III of
GATT 1994 and its interpretative notes are incorporated into and made a part of this
Agreement, subject to Annex 2.3.
4. A Party may not introduce a new customs duty on imports or a new quantitative
restriction on imports in the trade between the Parties, other than as permitted by this
Agreement, subject to Annex 2.3.
5. In the event that this Agreement enters into force on a date other than January 1, “year
one” for purposes of Annex 2.1 and each Party’s schedule to Annex 2.1 shall mean the period
from the date of entry into force of this Agreement through the end of the calendar year, and
the duty reductions in each Party’s schedule to Annex 2.1 shall take effect on such date of entry
into force. In such event, the term “January 1 of year one” for purposes of Annex 2.1 and each
Party’s schedule to Annex 2.1 shall mean the date of entry into force of this Agreement.
A
RTICLE 3: TRADE IN SERVICES
1. This Article applies to measures by a Party affecting trade in services between the
Parties.

3
2 Nothing in this Article shall require a Party to take any action with regard to the WTO
or a Council, Committee, Body, or the Ministerial Conference of the WTO.
3 The Parties acknowledge and accept that the commitments of the United States in
financial services in subparagraphs 2(a) and 2(b) have been undertaken in accordance with the
WTO Understanding on Commitments in Financial Services subject to the limitations and
conditions set forth in the schedule of the United States. 2. (a) With respect to market access through the modes of supply identified in Article I
of the GATS, each Party shall accord services and service suppliers of the other Party
treatment no less favorable than that provided for under the terms, limitations, and
conditions agreed and specified in its Services Schedule to Annex 3.1 to this Agreement.
In sectors where such market access commitments are undertaken, the measure which a
Party shall not maintain or adopt either on the basis of a regional subdivision or on the
basis of its entire territory, unless otherwise specified in its Services Schedule to Annex
3.1, are those measures defined in Article XVI:2(a)-(f) of the GATS.
(b) In the sectors inscribed in its Services Schedule to Annex 3.1, and subject to any
conditions and qualifications set out therein, each Party shall accord to services and
service suppliers of the other Party, in respect of all measures affecting the supply of
services, treatment no less favorable than that it accords to its own like services and
service suppliers.
(c) (i) Subject to subparagraph (c)(ii), any market access or national treatment
commitment inscribed in a Party’s Services Schedule to Annex 3.1 shall give rise
to the same rights and obligations
2 between the Parties as if that commitment
had been inscribed in that Party’s schedule of specific commitments annexed to
the GATS.
3
(ii) The provisions of GATS that shall be construed to give rise to rights and
obligations under this Article are: Articles IIIbis; VI:1, 2, 3, 5, 6; VII:1 & 2;
VIII:1, 2, 5; IX; XI; XII; XIII:1; XIV; XV:2; XVI; XVII; XVIII; XX:2; and
XXVII; Annex on Movement of Natural Persons Supplying Services under the
Agreement; Annex on Financial Services; Annex on Air Transport, paragraphs
1, 2, 3, 4, 6; and Annex on Telecommunications, paragraphs 1-5.
3. Jordan has listed, in its schedule annexed to the GATS, exemptions from most-favored-
nation treatment that are based on a reciprocity requirement. Jordan confirms that the United
States satisfies those reciprocity requirements specified in Annex 3.2.
4. (a) Unless they are specifically defined in this Article or in the Services Schedules
to Annex 3.1, terms used in this Article and such Services Schedules that are also used
in the GATS shall be construed in accordance with their meaning in the GATS, mutatis
mutandis.
(b) All references in this Article to the GATS are to the GATS in effect on the date
of entry into force of this Agreement. If, after that date, a Party alters its schedule of
specific commitments annexed to the GATS, the GATS is amended, or the results of the
negotiations described in GATS Articles VI:4, X:1, XIII:2, or XV:1 enter into effect,
this Article shall be amended, as appropriate, after consultations between the Parties.
(c) Reference in this Article to a provision of the GATS includes any footnote to
that provision.

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4 Articles 1(4) and 6(2) of the WCT shall be excepted from this Agreement. Such
exception shall be without prejudice to each Party’s respective rights and obligations under the
WCT, the Berne Convention for the Protection of Literary and Artistic Works (1971) (“Berne
Convention”) and the Agreement on Trade-Related Aspects of Intellectual Property Rights
(“TRIPS”).
5 Articles 5, 8(2), 12(2), and 15 of the WPPT shall be excepted from this Agreement.
Such exception shall be without prejudice to each Party’s respective rights and obligations
under the WPPT, the Berne Convention and TRIPS.
6 For purposes of paragraphs 3 and 4, “protection” shall include matters affecting the
availability, acquisition, scope, maintenance and enforcement of intellectual property rights as
well as uses of intellectual property rights specifically covered by this Agreement. A
RTICLE 4: INTELLECTUAL PROPERTY RIGHTS
1. Each Party shall, at a minimum, give effect to this Article, including the following
provisions:
(a) Articles 1 through 6 of the
Joint Recommendation Concerning Provisions on the
Protection of Well-Known Marks (1999), adopted by the Assembly of the Paris Union
for the Protection of Industrial Property and the General Assembly of the World
Intellectual Property Organization (“WIPO”);
(b) Articles 1 through 22 of the
International Convention for the Protection of New
Varieties of Plants (1991) (“
UPOV Convention”);
(c) Articles 1 through 14 of the
WIPO Copyright Treaty (1996) (“
WCT”)
4; and
(d) Articles 1 through 23 of the
WIPO Performances and Phonograms Treaty
(1996) (“
WPPT”).
5
2. Each Party shall make best efforts to ratify or accede to the
Patent Cooperation Treaty
(1984) and the Protocol Relating to the
Madrid Agreement Concerning the International
Registration of Marks (1989).
3. Each Party shall accord to nationals of the other Party treatment no less favorable than
it accords to its own nationals with regard to the protection
6 and enjoyment of all intellectual
property rights and any benefits derived therefrom, subject to the exceptions provided in this
Article.
4. A Party may derogate from paragraph 3 in relation to its judicial and administrative
procedures, including the designation of an address for service or the appointment of an agent
within the jurisdiction of the other Party, only where such derogations are necessary to secure
compliance with laws and regulations that are not inconsistent with the provisions of this
Agreement and where such practices are not applied in a manner that would constitute a
disguised restriction on trade.
5. The obligations under paragraphs 3 and 4 do not apply to procedures provided in
multilateral agreements concluded under the auspices of WIPO relating to the acquisition or
maintenance of intellectual property rights.

5
7 Neither Party is obligated to treat certification marks as a separate category in
national law, provided that such marks are protected.
8 A geographical indication shall be considered a trademark to the extent that the
geographical indication consists of any sign, or any combination of signs, capable of
identifying a good or service as originating in the territory of a Party, or a region or locality in
that territory, where a given quality, reputation or other characteristic of the good or service is
essentially attributable to its geographical origin. Trademarks and Geographical Indications
6. Trademarks shall include service marks, collective marks and certification marks,
7 and
may include geographical indications. 8
7. The owner of a registered trademark shall have the exclusive right to prevent all third
parties not having the owner’s consent from using in the course of trade identical or similar
signs, including geographical indications, for goods or services which are related to those in
respect of which the trademark is registered, where such use would result in a likelihood of
confusion.
8. Article 6bis of the Paris Convention for the Protection of Industrial Property (1967)
(“Paris Convention”) shall apply, mutatis mutandis, to goods or services which are not similar
to those identified by a well-known trademark, whether registered or not, provided that use of
that trademark in relation to those goods or services would indicate a connection between those
goods or services and the owner of the trademark and provided that the interests of the owner of
the trademark are likely to be damaged by such use.
9. Neither Party shall require recordal of trademark licenses to establish the validity of the
license or to assert any rights in a trademark.
Copyright and Related Rights
10. Each Party shall provide that all reproductions, whether temporary or permanent, shall
be deemed reproductions and subject to the reproduction right as envisaged in the provisions
embodied in WCT Article 1(4) and the Agreed Statement thereto, and WPPT Articles 7 and 11
and the Agreed Statement thereto.
11. Each Party shall provide to authors and their successors in interest, to performers and to
producers of phonograms the exclusive right to authorize or prohibit the importation into each
Party’s territory of copies of works and phonograms, even where such copies were made with
the authorization of the author, performer or producer of the phonogram or a successor in
interest.
12. Each Party shall provide to performers and producers of phonograms the exclusive right
to authorize or prohibit the broadcasting and communication to the public of their performances
or phonograms, regardless of whether the broadcast or communication is effected by wired or
wireless means, except that a Party may provide exemptions for analog transmissions and free
over-the-air broadcasts, and may introduce statutory licenses for non-interactive services that,
by virtue of their programming practices, including both the content of their transmissions and
their use of technological measures to prevent unauthorized uses, are unlikely to conflict with a
normal exploitation of phonograms or performances.

6
9 This provision does not require either Party to mandate that any consumer electronics,
telecommunications or computing product not otherwise violating the prohibition be designed
to affirmatively respond to any effective technological measure. Any violation of the
prohibition shall be independent of any infringement of copyright or related rights. 13. In applying the prohibition under Article 11 of the WCT and Article 18 of the WPPT on
circumvention of effective technological measures that are used by authors, performers and
producers of phonograms in connection with the exercise of their rights and that restrict
unauthorized acts in respect of their works, performances and phonograms, each Party shall
prohibit civilly and criminally the manufacture, importation or circulation of any technology,
device, service or part thereof, that is designed, produced, performed or marketed for engaging
in such prohibited conduct, or that has only a limited commercially significant purpose or use
other than enabling or facilitating such conduct.
9
14. Each Party shall provide that any natural person or legal entity acquiring or holding any
economic rights by contract or otherwise, including contracts of employment involving
protected subject matter, may freely and separately transfer such rights by contract and shall be
able to exercise those rights in its own name and enjoy fully benefits of such rights.
15. Each Party shall issue appropriate laws, regulations, or other measures (“measures”)
providing that all government agencies use only computer software authorized for intended use.
Such measures shall actively regulate the acquisition and management of software for
government use.
16. Each Party shall confine limitations or exceptions to exclusive rights to certain special
cases which do not conflict with a normal exploitation of the work and do not unreasonably
prejudice the legitimate interests of the right holders.
Patents
17. Subject to paragraph 18, patents shall be available for any invention, whether product or
process, in all fields of technology, provided that it is new, involves an inventive step and is
capable of industrial application.
18. Each Party may exclude from patentability:
(a) inventions, the prevention within their territory of the commercial exploitation
of which is necessary to protect ordre public or morality, including to protect human,
animal or plant life or health or to avoid serious prejudice to the environment provided
that such exclusion is not made merely because the exploitation is prohibited by their
law;
(b) diagnostic, therapeutic and surgical methods for the treatment of humans or
animals.
19. If a Party permits the use by a third party of a subsisting patent to support an application
for marketing approval of a product, the Party shall provide that any product produced under
this authority shall not be made, used or sold in the territory of the Party other than for purposes
related to meeting requirements for marketing approval, and if export is permitted, the product
shall only be exported outside the territory of the Party for purposes of meeting requirements
for marketing approval in the Party or in another country that permits the use by a third party of
a subsisting patent to support an application for marketing approval of a product.

7
10 It is understood that protection for “new chemical entities” shall also include
protection for new uses for old chemical entities for a period of three years.
11 It is understood that, in situations where there is reliance on evidence of approval in
another country, Jordan shall at a minimum protect such information against unfair commercial
use for the same period of time the other country is protecting such information against unfair
commercial use. 20. Neither Party shall permit the use of the subject matter of a patent without the
authorization of the right holder except in the following circumstances:
(a) to remedy a practice determined after judicial or administrative process to be
anti-competitive;
(b) in cases of public non-commercial use or in the case of a national emergency or
other circumstances of extreme urgency, provided that such use is limited to use by
government entities or legal entities acting under the authority of a government; or
(c) on the ground of failure to meet working requirements, provided that
importation shall constitute working.
Where the law of a Party allows for such use pursuant to sub-paragraphs (a), (b) or (c), the
Party shall respect the provisions of Article 31 of TRIPS and Article 5A(4) of the Paris
Convention.
21. With regard to filing a patent application, when it is not possible to provide a sufficient
written description of the invention to enable others skilled in the art to carry out the invention,
each Party shall require a deposit with an “international depository authority,” as defined in the
Budapest Treaty on the International Recognition of the Deposit of Microorganisms for the
Purposes of Patent Procedure (1980).
Measures Related to Certain Regulated Products
22. Pursuant to Article 39.3 of TRIPS, each Party, when requiring, as a condition of
approving the marketing of pharmaceutical or of agricultural chemical products that utilize new
chemical entities,
10 the submission of undisclosed test or other data, or evidence of approval in
another country, 11 the origination of which involves a considerable effort, shall protect such
information against unfair commercial use. In addition, each Party shall protect such
information against disclosure, except where necessary to protect the public, or unless steps are
taken to ensure that the information is protected against unfair commercial use.
23. With respect to pharmaceutical products that are subject to a patent:
(a) each Party shall make available an extension of the patent term to compensate
the patent owner for unreasonable curtailment of the patent term as a result of the
marketing approval process.
(b) the patent owner shall be notified of the identity of any third party requesting
marketing approval effective during the term of the patent.
Enforcement of Intellectual Property Rights

8
24. Each Party shall provide that, at least in cases of knowing infringement of trademark,
copyright and related rights, its judicial authorities shall have the authority to order the infringer
to pay the right holder damages adequate to compensate for the injury the right holder has
suffered as a result of the infringement and any profits of the infringer that are attributable to
the infringement that are not taken into account in computing such damages. Injury to the right
holder shall be based upon the value of the infringed-upon item, according to the suggested
retail price of the legitimate product, or other equivalent measures established by the right
holder for valuing authorized goods.
25. Each Party shall ensure that its statutory maximum fines are sufficiently high to deter
future acts of infringement with a policy of removing the monetary incentive to the infringer,
and shall provide its judicial and other competent authorities the authority to order the seizure
of all suspected pirated copyright and counterfeit trademark goods and related implements the
predominant use of which has been in the commission of the offense, and documentary
evidence.
26. Each Party shall provide, at least in cases of copyright piracy or trademark
counterfeiting, that its authorities may initiate criminal actions and border measure actions ex
officio, without the need for a formal complaint by a private party or right holder.
27. In civil cases involving copyright or related rights, each Party shall provide that the
natural person or legal entity whose name is indicated as the author, producer, performer or
publisher of the work, performance or phonogram in the usual manner shall, in the absence of
proof to the contrary, be presumed to be the designated right holder in such work, performance
or phonogram. It shall be presumed, in the absence of proof to the contrary, that the copyright
or related right subsists in such subject matter. Such presumptions shall pertain in criminal
cases until the defendant comes forward with credible evidence putting in issue the ownership
or subsistence of the copyright or related right.
28. Each Party shall provide that copyright piracy involving significant willful
infringements that have no direct or indirect motivation of financial gain shall be considered
willful copyright piracy on a commercial scale.
Transition Periods
29. Each Party shall implement fully the obligations of this Article within the following
time periods:
(a) With respect to all obligations in paragraphs 1(c), 1(d), and 10 through 16, two
years from the date of entry into force of this Agreement. In addition, Jordan agrees to
accede to and ratify the WCT and WPPT within two years from the date of entry into
force of this Agreement.
(b) With respect to all obligations in paragraph 1(b), six months from the date of
entry into force of this Agreement. In addition, Jordan agrees to ratify the UPOV
Convention within one year from the date of entry into force of this Agreement.
(c) With respect to all obligations in paragraph 22, except the obligation in footnote
10, immediately from the date of entry into force of this Agreement.
(d) With respect to all obligations under this Article not referenced in subparagraphs
(a), (b) and (c), three years from the date of entry into force of this Agreement.

9
A
RTICLE 5: ENVIRONMENT
1. The Parties recognize that it is inappropriate to encourage trade by relaxing domestic
environmental laws. Accordingly, each Party shall strive to ensure that it does not waive or
otherwise derogate from, or offer to waive or otherwise derogate from, such laws as an
encouragement for trade with the other Party.
2. Recognizing the right of each Party to establish its own levels of domestic
environmental protection and environmental development policies and priorities, and to
adopt or modify accordingly its environmental laws, each Party shall strive to ensure that its
laws provide for high levels of environmental protection and shall strive to continue to
improve those laws.
3. (a) A Party shall not fail to effectively enforce its environmental laws, through a
sustained or recurring course of action or inaction, in a manner affecting trade
between the Parties, after the date of entry into force of this Agreement.
(b) The Parties recognize that each Party retains the right to exercise discretion
with respect to investigatory, prosecutorial, regulatory, and compliance matters and to
make decisions regarding the allocation of resources to enforcement with respect to
other environmental matters determined to have higher priorities. Accordingly, the
Parties understand that a Party is in compliance with subparagraph (a) where a course
of action or inaction reflects a reasonable exercise of such discretion, or results from a
bona fide decision regarding the allocation of resources.
4. For purposes of this Article, “environmental laws” mean any statutes or regulations of
a Party, or provision thereof, the primary purpose of which is the protection of the
environment, or the prevention of a danger to human, animal, or plant life or health, through:
(a) the prevention, abatement or control of the release, discharge, or emission of
pollutants or environmental contaminants;
(b) the control of environmentally hazardous or toxic chemicals, substances,
materials and wastes, and the dissemination of information related thereto; or
(c) the protection or conservation of wild flora or fauna, including endangered
species, their habitat, and specially protected natural areas in the Party’s territory,
but does not include any statutes or regulations, or provision thereof, directly related to
worker safety or health.
A
RTICLE 6: LABOR
1. The Parties reaffirm their obligations as members of the International Labor
Organization (“ILO”) and their commitments under the ILO Declaration on Fundamental
Principles and Rights at Work and its Follow-up. The Parties shall strive to ensure that such
labor principles and the internationally recognized labor rights set forth in paragraph 6 are
recognized and protected by domestic law.
2. The Parties recognize that it is inappropriate to encourage trade by relaxing domestic
labor laws. Accordingly, each Party shall strive to ensure that it does not waive or otherwise
derogate from, or offer to waive or otherwise derogate from, such laws as an encouragement
for trade with the other Party.

10
3. Recognizing the right of each Party to establish its own domestic labor standards, and
to adopt or modify accordingly its labor laws and regulations, each Party shall strive to
ensure that its laws provide for labor standards consistent with the internationally recognized
labor rights set forth in paragraph 6 and shall strive to improve those standards in that light.
4. (a) A Party shall not fail to effectively enforce its labor laws, through a sustained
or recurring course of action or inaction, in a manner affecting trade between the
Parties, after the date of entry into force of this Agreement.
(b) The Parties recognize that each Party retains the right to exercise discretion
with respect to investigatory, prosecutorial, regulatory, and compliance matters and to
make decisions regarding the allocation of resources to enforcement with respect to
other labor matters determined to have higher priorities. Accordingly, the Parties
understand that a Party is in compliance with subparagraph (a) where a course of
action or inaction reflects a reasonable exercise of such discretion, or results from a
bona fide decision regarding the allocation of resources.
5. The Parties recognize that cooperation between them provides enhanced opportunities
to improve labor standards. The Joint Committee established under Article 15 shall, during
its regular sessions, consider any such opportunity identified by a Party.
6. For purposes of this Article, “labor laws” means statutes and regulations, or
provisions thereof, that are directly related to the following internationally recognized
labor rights:
(a) the right of association;
(b) the right to organize and bargain collectively;
(c) a prohibition on the use of any form of forced or compulsory labor;
(d) a minimum age for the employment of children; and
(e) acceptable conditions of work with respect to minimum wages, hours of work,
and occupational safety and health.
A
RTICLE 7: ELECTRONIC COMMERCE
1. Recognizing the economic growth and opportunity provided by electronic commerce
and the importance of avoiding barriers to its use and development, each Party shall seek to
refrain from:
(a) deviating from its existing practice of not imposing customs duties on
electronic transmissions;
(b) imposing unnecessary barriers on electronic transmissions, including digitized
products; and
(c) impeding the supply through electronic means of services subject to a
commitment under Article 3 of this Agreement, except as otherwise set forth in the
Party’s Services Schedule in Annex 3.1.

11
12 Paragraphs 1 and 2 of this Article render nationals of Jordan eligible for treaty-trader
(E-1) and treaty-investor (E-2) visas subject to the applicable provisions of U.S. laws and
corresponding regulations governing entry, sojourn and employment of aliens. They also
guarantee similar treatment for U.S. nationals seeking to enter Jordan’s territory.
13 A determination that an originating good is being imported as a result of the
reduction or elimination of a duty provided for in this Agreement shall be made only if such
reduction or elimination is a cause which contributes significantly to the increase in imports,
but need not be equal to or greater than any other cause. The passage of a period of time
between the commencement or termination of such reduction or elimination and the increase in
imports shall not by itself preclude the determination referenced in this footnote. If the increase
in imports is demonstrably unrelated to such reduction or elimination, the determination
referenced in this footnote shall not be made. 2. The Parties shall also make publicly available all relevant laws, regulations, and
requirements affecting electronic commerce.
3. The Parties reaffirm the principles announced in the U.S.-Jordan Joint Statement on
Electronic Commerce.
A
RTICLE 8: VISA COMMITMENTS
1. Subject to its laws relating to the entry, sojourn and employment of aliens, each Party
shall permit to enter and to remain in its territory nationals of the other Party solely to carry
on substantial trade, including trade in services or trade in technology, principally between
the Parties.
2. Subject to its laws relating to the entry, sojourn and employment of aliens, each Party
shall permit to enter and to remain in its territory nationals of the other Party for the purpose
of establishing, developing, administering or advising on the operation of an investment to
which they, or a company of the other Party that employs them, have committed or are in the
process of committing a substantial amount of capital or other resources.
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ARTICLE 9: GOVERNMENT PROCUREMENT
Pursuant to Jordan’s July 12, 2000, application for accession to the WTO Agreement on
Government Procurement, the Parties shall enter into negotiations with regard to Jordan’s
accession to that Agreement.
A
RTICLE 10: SAFEGUARD M EASURES
1. If as a result of the reduction or elimination of a duty 13 under this Agreement, an
originating good of the other Party is being imported into the territory of a Party in such
increased quantities, in absolute terms or relative to domestic production, and under such
conditions that the imports of such good from the other Party constitute a substantial cause of
serious injury, or threat thereof, to a domestic industry producing a like or directly
competitive product, such Party may:
(a) suspend the further reduction of any rate of duty provided for under this
Agreement for the good; or

12
(b) increase the rate of duty on the good to a level not to exceed the lesser of
(i) the most-favored-nation (MFN) applied rate of duty in effect at the
time the measure is taken; and
(ii) the MFN applied rate of duty in effect on the day immediately
preceding the date of entry into force of this Agreement; or
(c) in the case of a duty applied to a good on a seasonal basis, increase the rate of
duty to a level not to exceed the lesser of the MFN applied rate of duty that was in
effect on the good for the immediately preceding corresponding season or the date of
entry into force of this Agreement.
2. The following conditions and limitations shall apply to a measure described in
paragraph 1:
(a) a Party shall take the measure only following an investigation by the
competent authorities of such Party in accordance with Articles 3 and 4.2(c) of the
WTO Agreement on Safeguards; and to this end, Articles 3 and 4.2(c) of the WTO
Agreement on Safeguards are incorporated into and made a part of this Agreement,
mutatis mutandis;
(b) in the investigation described in subparagraph (a), a Party shall comply with
the requirements of Article 4.2(a) of the WTO Agreement on Safeguards; and to this
end, Article 4.2(a) is incorporated into and made a part of this Agreement, mutatis
mutandis;
(c) a Party shall notify the other Party upon initiation of an investigation
described in subparagraph (a) and shall consult with the other Party prior to taking the
measure; and, if a Party takes a provisional measure pursuant to paragraph 3, the Party
shall also notify the other Party prior to taking such measure, and shall initiate
consultations with the other Party immediately after such measure is taken;
(d) no measure shall be maintained:
(i) except to the extent and for such time as may be necessary to prevent
or remedy serious injury and to facilitate adjustment;
(ii) for a period exceeding four years; or
(iii) beyond the expiration of the transition period, except with the consent
of the Party against whose originating good the measure is taken;
(e) no measure may be applied against the same originating good on which a
measure has previously been taken;
(f) where the expected duration of the measure is over one year, the importing
Party shall progressively liberalize it at regular intervals during the period of
application; and
(g) on termination of the measure, the rate of duty shall be the rate that, according
to the Party’s schedule in Annex 2.1 to this Agreement, would have been in effect one

13
year after initiation of the measure. Beginning on January 1 of the year following the
termination of the action, the Party that has applied the measure shall:
(i) apply the rate of duty set out in its schedule in Annex 2.1 to this
Agreement as if the measure had never been applied; or
(ii) eliminate the tariff in equal annual stages ending on the date
corresponding to the staging category set out in its schedule in Annex 2.1 or
its schedule to Annex 2.1.
3. In critical circumstances where delay would cause damage which it would be difficult
to repair, a Party may take a measure described in paragraph 1(a), 1(b), or 1(c) on a
provisional basis pursuant to a preliminary determination that there is clear evidence that
imports from the other Party have increased as a result of the preferential treatment under this
Agreement, and such imports constitute a substantial cause of serious injury, or threat thereof,
to the domestic industry. The duration of such provisional measure shall not exceed 200
days, during which time the requirements of subparagraphs 2(a) and 2(b) shall be met. Any
tariff increases shall be promptly refunded if the investigation described in subparagraph 2(a)
does not result in a finding that the requirements of paragraph 1 are met. The duration of any
provisional measure shall be counted as part of the period described in subparagraph 2(d).
4. The Party applying a measure described in paragraph 1 shall provide to the other
Party mutually agreed trade liberalizing compensation in the form of concessions having
substantially equivalent trade effects or equivalent to the value of the additional duties
expected to result from the measure. If the Parties are unable to agree on compensation, the
Party against whose originating good the measure is applied may take tariff action having
trade effects substantially equivalent to the measure applied under this Article. The Party
taking the tariff action shall apply the action only for the minimum period necessary to
achieve the substantially equivalent effects. However, the right to take tariff action shall not
be exercised for the first 24 months that the measure is in effect, provided that the measure
has been applied as a result of an absolute increase in imports and that such a measure
conforms to the provisions of this Article.
5. The Parties recognize that, because it has recently begun to produce a like or directly
competitive product described in paragraph 1, an infant industry may face challenges that
more mature industries do not encounter. Each Party shall ensure that the procedures
described in paragraph 2 do not create obstacles to infant industries that seek the imposition
of such measures.
6. At its regularly scheduled session for the year commencing 14 years after the date of
entry into force of this Agreement, the Joint Committee shall conduct a review of the
operation of this Article. Based on the results of this review and on the agreement of the
Joint Committee, the transition period may be extended.
7. For purposes of this Article:
domestic industry means the producers as a whole of the like or directly competitive product
operating in the territory of a Party, or those whose collective output of the like or directly
competitive products constitutes a major proportion of the total domestic production of those
products;
serious injury means a significant overall impairment of a domestic industry;

14
substantial cause means a cause which is important and not less than any other cause;
threat of serious injury means serious injury that, on the basis of facts and not merely on
allegation, conjecture or remote possibility, is clearly imminent; and
transition period means the 15-year period beginning on January 1 of the year following
entry into force of this Agreement, except if such period is extended in accordance with
paragraph 6 of this Article.
8. Each Party retains its rights and obligations under Article XIX of GATT 1994 and the
WTO Agreement on Safeguards. This Agreement does not confer any additional rights or
obligations on the Parties with regard to actions taken pursuant to Article XIX and the
Agreement on Safeguards, except that a Party taking a safeguard measure under Article XIX
and the Agreement on Safeguards may exclude imports of an originating good from the other
Party if such imports are not a substantial cause of serious injury or threat thereof.
A
RTICLE 11: BALANCE OF PAYMENTS
Should either Party decide to impose measures for balance of payments purposes, it shall do
so in accordance with the Party’s obligations under the WTO Agreement. In adopting such
measures, the Party shall strive not to impair the relative benefits accorded to the other Party
under this Agreement.
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RTICLE 12: EXCEPTIONS
1. For purposes of Article 2 of this Agreement, Article XX of GATT 1994 and its
interpretative notes are incorporated into and made a part of this Agreement. The Parties
understand that the measures referred to in GATT 1994 Article XX(b) include environmental
measures necessary to protect human, animal or plant life or health, and that GATT 1994
Article XX(g) applies to measures relating to conservation of living and non-living
exhaustible natural resources.
2. Nothing in this Agreement shall be construed:
(a) to require any Party to furnish or allow access to any information the
disclosure of which it determines to be contrary to its essential security interests;
(b) to prevent any Party from taking any actions that it considers necessary for the
protection of its essential security interests:
(i) relating to the traffic in arms, ammunition and implements of war and
to such traffic and transactions in other goods, materials, services and
technology undertaken directly or indirectly for the purpose of supplying a
military or other security establishment,
(ii) taken in time of war or other emergency in international relations, or
(iii) relating to the implementation of national policies or international
agreements respecting the non-proliferation of nuclear weapons or other
nuclear explosive devices; or

15
(c) to prevent any Party from taking action in pursuance of its obligations under
the United Nations Charter for the maintenance of international peace and security.
3. Except as set out in this paragraph, nothing in this Agreement shall apply to taxation
measures.
(a) Nothing in this Agreement shall affect the rights and obligations of either
Party under any tax convention. In the event of any inconsistency between this
Agreement and any such convention, that convention shall prevail to the extent of the
inconsistency.
(b) Notwithstanding subparagraph (a), Article 2.3 and such other provisions of
this Agreement as are necessary to give effect to Article 2.3 shall apply to taxation
measures to the same extent as does Article III of the GATT 1994.
(c) Notwithstanding subparagraph (a), the national treatment commitment under
Article 3.2 shall apply to taxation measures to the same extent as under the GATS,
and the national treatment commitment under Article 3.2(b) shall apply to taxation
measures to the same extent as if the Party had made an identical national treatment
commitment under Article XVII of the GATS.
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RTICLE 13: ECONOMIC COOPERATION AND TECHNICAL ASSISTANCE
To realize the objectives of this Agreement and to contribute to the implementation of its
provisions:
(a) the Parties declare their readiness to foster economic cooperation; and
(b) in view of Jordan’s developing status, and the size of its economy and
resources, the United States shall strive to furnish Jordan with economic technical
assistance, as appropriate.
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RTICLE 14: RULES OF ORIGIN AND COOPERATION IN CUSTOMS ADMINISTRATION
1. The Parties recognize that the rules regarding eligibility for the preferential tariff
treatment afforded by this Agreement, as set out in Article 2 and Annex 2.2, are
crucial to the functioning of this Agreement, and each Party shall strive to administer
such rules effectively, uniformly, and consistently with the object and purpose of this
Agreement and the WTO Agreement.
2. The Parties shall consult as appropriate, through the Joint Committee or through the
consultative mechanism established in Article 16:
(a) to agree upon the means to cooperate and provide administrative assistance to
achieve the commitments in paragraph 1; and
(b) to address situations pertaining to claims of preferential treatment under this
Agreement for imported goods that do not satisfy the requirements in Annex
2.2.

16
3. The Parties, within 180 days after the entry into force of this Agreement, shall enter
into discussions with a view to developing interpretative and explanatory materials on the
implementation of Annex 2.2.
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RTICLE 15: JOINT COMMITTEE
1. A Joint Committee is hereby established to supervise the proper implementation of
this Agreement and to review the trade relationship between the Parties.
2. The functions of the Joint Committee shall include, inter alia:
(a) reviewing the general functioning of this Agreement;
(b) reviewing the results of this Agreement in light of the experience gained
during its functioning and its objectives, and considering ways of improving trade
relations between the Parties, and furthering the objectives of the Agreement,
including through further cooperation and assistance;
(c) facilitating the avoidance and settlement of disputes, including through
consultations pursuant to Articles 17.1 (b) and 17.2 (a);
(d) considering and adopting any amendment to this Agreement or modification
to the commitments therein, provided that the adoption of such amendment or
modification shall be subject to the domestic legal requirements of each Party;
(e) developing guidelines, explanatory materials, and rules on the proper
implementation of this Agreement, as necessary, and particularly: (i) guidelines and
explanatory materials on the implementation of Annex 2.2, and (ii) rules for the
selection and conduct of members of panels formed under Article 17, and model rules
of procedure for such panels;
(f) at its first meeting, discussing the review performed by each Party of the
environmental effects of this Agreement.
3. Structure of the Joint Committee
(a) The Joint Committee shall be composed of representatives of the Parties and
shall be headed by (i) the United States Trade Representative and (ii) Jordan’s
Minister primarily responsible for international trade, or their designees.
(b) The Joint Committee may establish and delegate responsibilities to ad hoc and
standing committees or working groups, and seek the advice of non-governmental
persons or groups.
4. The Joint Committee shall convene at least once a year in regular session in order to
review the general functioning of the Agreement. Regular sessions of the Joint Committee
shall be held alternately in each country. Special meetings of the Joint Committee shall also
be convened within 30 days at the request of either Party and shall be held in the territory of
the other Party, except as the Parties may otherwise agree. The Joint Committee shall
establish its own rules of procedure. All decisions of the Joint Committee shall be taken by
consensus.

17
5. Recognizing the importance of transparency and openness, the Parties reaffirm their
respective practices of considering the views of interested members of the public in order to
draw upon a broad range of perspectives in the implementation of this Agreement.
6. Each Party shall designate an office to serve as the contact point with regard to this
Agreement. That office shall receive official correspondence related to this Agreement and
provide administrative assistance to the Joint Committee and to dispute settlement panels
established under Article 17.
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RTICLE 16: CONSULTATIONS
1. The Parties shall at all times endeavor to agree on the interpretation and application of
this Agreement, and shall make every attempt to arrive at a mutually satisfactory resolution
of any matter that might affect its operation.
2. Either Party may request consultations with the other Party with respect to any matter
affecting the operation or interpretation of this Agreement. If a Party requests consultations
with regard to a matter, the other Party shall afford adequate opportunity for consultations
and shall reply promptly to the request for consultations and enter into consultations in good
faith.
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RTICLE 17: DISPUTE SETTLEMENT
1. (a) The Parties shall make every attempt to arrive at a mutually agreeable
resolution through consultations under Article 17, whenever
(i) a dispute arises concerning the interpretation of this Agreement;
(ii) a Party considers that the other Party has failed to carry out its
obligations under this Agreement; or
(iii) a Party considers that measures taken by the other Party severely
distort the balance of trade benefits accorded by this Agreement, or
substantially undermine fundamental objectives of this Agreement.
(b) A Party seeking consultations pursuant to subparagraph (a) shall submit a
request for consultations to the contact point provided for under Article 15.6. If the
Parties fail to resolve a matter described in subparagraph (a) through consultations
within 60 days of the submission of such request, either Party may refer the matter to
the Joint Committee, which shall be convened and shall endeavor to resolve the
dispute.
(c) If a matter referred to the Joint Committee has not been resolved within a
period of 90 days after the dispute was referred to it, or within such other period as
the Joint Committee has agreed, either Party may refer the matter to a dispute
settlement panel. Unless otherwise agreed by the Parties, the panel shall be
composed of three members: each Party shall appoint one member, and the two
appointees shall choose a third who will serve as the chairman.
(d) The panel shall, within 90 days after the third member is appointed, present to
the Parties a report containing findings of fact and its determination as to whether
either Party has failed to carry out its obligations under the Agreement or whether a

18
measure taken by either Party severely distorts the balance of trade benefits accorded
by this Agreement or substantially undermines the fundamental objectives of this
Agreement. Where the panel finds that a Party has failed to carry out its obligations
under this Agreement, it may, at the request of the Parties, make recommendations for
resolution of the dispute. The report of the panel shall be non-binding.
(e) (i) If the dispute settlement panel under this Agreement or any other
applicable international dispute settlement mechanism under an agreement to
which both Parties are Party has been invoked by either Party with respect to
any matter, the mechanism invoked shall have exclusive jurisdiction over that
matter.
(ii) If a mechanism described in subparagraph (e)(i) fails for procedural or
jurisdictional reasons to make findings of law or fact, as necessary, on a claim
included in a matter with respect to which a Party has invoked such
mechanism, subparagraph (e)(i) shall not be construed to prevent the Party
from invoking another mechanism with respect to such claim.
2. (a) After a dispute has been referred to a dispute settlement panel under this
Agreement and the panel has presented its report, the Joint Committee shall endeavor
to resolve the dispute, taking the report into account, as appropriate.
(b) If the Joint Committee does not resolve the dispute within a period of 30 days
after the presentation of the panel report, the affected Party shall be entitled to take
any appropriate and commensurate measure.
1. The Parties, within 180 days after the entry into force of this Agreement, shall enter
into discussions with a view to developing rules for the selection and conduct of
members of panels and Model Rules of Procedure for panels. The Joint Committee
shall adopt such rules. Unless the Parties otherwise agree, a panel established under
this Article shall conduct its proceedings in accordance with the Model Rules of
Procedure.
4. (a) A Party may invoke a panel under paragraph 1(c) of this Article for claims
arising under Article 3 only to the extent that a claim arises with regard to a
commitment that is inscribed in the Party’s Services Schedule to Annex 3.1 to this
Agreement, but is not inscribed in the Party’s schedule of specific commitments
annexed to the GATS. Such commitment may include a market access or national
treatment commitment in a sector, a horizontal commitment applicable to a sector, or
additional commitment.
(b) Except as otherwise agreed by the Parties, a Party may invoke a panel under
paragraph 1(c) of this Article for claims arising under Article 4 only to the extent that
the same claim would not be subject to resolution through the WTO Understanding
on Rules and Procedures Governing the Settlement of Disputes.
(c) If a dispute involves both a claim described in subparagraph (a) or (b) and
another claim, subparagraph 1(e) shall not prevent a Party from invoking another
international dispute settlement mechanism with regard to such other claim. Nothing
in this subparagraph shall allow a Party to invoke the dispute settlement mechanism
of both this Article and another international dispute settlement mechanism with
regard to the same claim.

19
A
RTICLE 18: M ISCELLANEOUS PROVISIONS
1. Neither Party may provide for a right of action under its domestic law against the
other Party on the ground that a measure of the other Party is inconsistent with this
Agreement.
2. For purposes of Articles 5 and 6, “statutes and regulations” means,
(a) with respect to Jordan, an act of the Jordanian Parliament, or by-law or
regulation promulgated pursuant to an act of the Jordanian Parliament that is
enforceable by action of the Government of Jordan; and
(b) with respect to the United States, an act of the United States Congress or
regulation promulgated pursuant to an act of the U.S. Congress that is enforceable, in
the first instance, by action of the federal government.
3. The Annexes and Schedules to this Agreement are an integral part thereof.
4. All references in this Agreement to GATT 1994 are to the GATT 1994 in effect on
the date of entry into force of this Agreement.
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RTICLE 19: ENTRY INTO FORCE AND TERMINATION
1. The entry into force of this Agreement is subject to the completion of necessary
domestic legal procedures by each Party.
2. This Agreement shall enter into force two months after the date on which the Parties
exchange written notification that such procedures have been completed, or after such other
period as the Parties may agree.
3. Either Party may terminate this Agreement by written notification to the other Party.
This Agreement shall expire six months after the date of such notification.
IN WITNESS WHEREOF, the undersigned, being duly authorized by their respective
Governments, have signed this Agreement.
Done at Washington, in duplicate, in the English language, this twenty-fourth day of
October, 2000, which corresponds to this twenty-sixty day of Rajab, 1421. An Arabic
language text shall be prepared, which shall be considered equally authentic upon an
exchange of diplomatic notes confirming its conformity with the English language text. In
the event of a discrepancy, the English language text shall prevail.
FOR THE GOVERNMENT OF THE FOR THE GOVERNMENT OF THE
UNITED STATES OF AMERICA: HASHEMITE KINGDOM OF JORDAN: