Free Trade Agreements Of Kenya

Regional agreements. One of the most frequently asked questions is how a free trade agreement between the United States and Kenya will affect efforts to implement the African Continental Free Trade Agreement (AfCFTA). Until now, the USTR`s statement on this issue has been ambiguous, saying only that the United States “will support, if necessary, regional integration.” U.S. companies and groups such as the U.S. Chamber of Commerce are committed to discussions on the FTA and AfCFTA, and these two groups reinforce Kenya`s growth and development goals. President Kenyatta also sought to allay fears that the ongoing trade negotiations between Kenya and the United States will harm the AfCFTA. He said Kenya`s trade agreement with the United States will provide broader assistance to the continent by creating a link for other African nations to negotiate bilateral afCFTA agreements in the future. Kenya also has obligations as a member of the Customs Union of the East African Community (EAC). Like its EAC colleagues, Kenya applies a common external tariff and may have limited flexibility to negotiate concessions in this area. With regard to the future of AGOA, the USTR did not indicate whether it supported an extension beyond 2025 for African countries that have not negotiated a free trade agreement, which would of course be the majority of the current beneficiaries. The United States and Kenya formally began negotiations for a free trade agreement on July 8, 2020. As the United States prepares for presidential elections in a few months, these talks may not attract the world`s attention.

But as a prototype assessment of the substance of future U.S.-Africa trade relations, much is going on in Washington, which is using the agreement to make a bold statement of its commitment to an effective north-south free trade agreement. Despite the coronavirus pandemic, the Trump administration and the Kenyan government began trade negotiations in early July. Depending on the outcome of the negotiations, the trade agreement could be the most important development in U.S.-Africa trade relations since the adoption of Congress by the African Growth and Opportunity Act (AGOA) in 2000. According to U.S. Trade Representative (USTR), Ambassador Robert Lighthizer, the U.S.-Kenya agreement will become a model for future trade agreements with other African countries. [Notice] Relations between the 56 states and Kenya flourish because we trust, respect each other and share values common to our nations. Both believe in a strong economy through an open and free market that allows entrepreneurs, businesses and the private sector to prosper and create jobs. The African Growth and Opportunity Act (AGOA) has improved markets,…

Washington is a taste for using free trade agreements to indicate the status of strategic regional allies of partner countries. Such agreements with Morocco, South Korea, Colombia and Bahrain should all indicate a much deeper strategic alliance beyond trade. “Kenya is a recognized leader across the continent, an important strategic partner of the United States, and there is enormous potential for us to deepen our economic and trade relations,” said Ambassador Lighthizer. “Under President Trump`s leadership, we look forward to negotiating and concluding a comprehensive and highly standardized agreement with Kenya that can serve as a model for additional agreements across Africa. Both sides have described what they want to achieve in the negotiations. The objectives of the United States are predictable and comprehensive. USTR has identified 24 chapters it intends to negotiate on, including technical barriers to trade, intellectual property, digital trade, anti-corruption, best regulatory practices and subsidies.