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CAFTA-DR creates new commercial opportunities for the United States while promoting regional stability, economic integration, and economic development for an important group of U.S. neighbors.
Is NAFTA still in effect?
The U.S.-Mexico-Canada Agreement (USMCA) entered into force on July 1, 2020, replacing the North American Free Trade Agreement (NAFTA). For information on USMCA, visit .
Is CAFTA-DR good?
CAFTA-DR eliminated most tariffs between the U.S. and several Central American nations. The trade agreement was intended to increase jobs in all of the nations, and improve workers conditions in Central America. It was a key component of a Pan-American trade deal that has been abandoned.
When did the Dominican Republic join CAFTA?
CAFTA-DR was implemented on a rolling basis. El Salvador, Guatemala, Honduras, and Nicaragua joined in 2006, the Dominican Republic in 2007, and Costa Rica on January 1, 2009. The agreement was designed to level the playing field between the United States and the six CAFTA-DR trade partners.
What is the Central America Free Trade Agreement?
The CAFTA-DR constitutes the first free trade agreement between the United States and a small group of developing countries. It was created with the purpose of creating new and better economic opportunities by opening markets, eliminating tariffs, reducing barriers to services, and more.
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Small Countries, BIG Markets Manufacturers would also benefit, especially in sectors like information technology products, agricultural and construction equipment, paper products, pharmaceuticals, and medical and scientific equipment.
Is CAFTA-DR still in effect?
Most CAFTA-DR goods currently enter the United States free of duty and the merchandise processing fee (MPF), and virtually all will enter free by the time the Agreement is fully implemented on January 1, 2025.
Was CAFTA-DR successful?
The U.S. goods trade surplus with CAFTA-DR was $12.7 billion in 2022, a 40.8 percent increase ($3.7 billion) over 2021.
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Apr 29, 2021 free trade agreement with the U.S. Carib is already exporting LNG in shipping containers to Caribbean and Central American countries.[1]
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