Deputy Secretary's Speech

Deputy Secretary of Commerce David A. Sampson
U.S.-Jordan Business Alliance
Washington, D.C.

I’d like to also thank the U.S. Jordan Business Alliance for organizing this lunch. I’d like to recognize and welcome His Royal Highness, Prince Zeid bin Ra’ad, (rahd) the new Jordanian Ambassador to the United States. I had the pleasure to meet him in February at the Jordanian Embassy, and I’m pleased to see you again, and welcome you in your new role.

The US-Jordan relationship is a very important one, and I look forward to working with you to deepen and strengthen our ties.

I visited Jordan in February. My visit there was brief, but I will never forget the beauty of the country, the hospitality of the people, and uniqueness of Jordan’s rich history. I was truly impressed by the wealth of cultural sites and the high level of commercial activity and infrastructure development that I saw. And I look forward to visiting again one day.

While I thoroughly enjoyed the historic sites I visited, I was also pleased with the current and future economic prospects there. The fact that Jordan is hosting the World Economic Forum in May is a testament to the Kingdom’s economic success. The meeting will highlight new investment opportunities and address the key success factors for continuing growth and job creation.

I want to talk today about the U.S.- Jordan commercial relationship and how we can keep moving forward.

Six years after Jordan gained its independence in 1946, the United States began providing economic assistance, and relations between our two countries have been close for over six decades. The U.S. government designated Jordan as a major non-NATO ally in 1996. The designation enshrines a strategic partnership between our two countries and is reserved for only the closest of American friends in the world. Jordan is indeed such a friend.

King Abdullah has promoted significant economic reform since assuming the throne in 1999. Because of this, Jordan acceded to the WTO in 2000 and became an FTA partner to the United States in 2001. Jordan’s economy is expanding steadily by leveraging trade to create growth and opportunity.

Jordan has wisely invested in health and education, strengthened property rights, reduced regulatory burdens, promoted privatization, advanced the contributions of women, cut costly tariffs and quotas, enhanced regulatory transparency, and welcomed foreign investors.

The Jordan FTA is a model for the region as the United States works to build a Middle East Free Trade Area. Mr. Ambassador, your country is leading by example and showing what can be accomplished when leaders embrace market based development sparked by trade, openness, and reform.

Secretary Gutierrez often says that signing a free trade agreement is the easy part. All it does is provide the legal frame work in which trade can take place, and once it is signed, that is when the work begins. That is when companies begin to establish relationships and explore new markets. The FTA gives companies the tools to expand and broaden their businesses.

This is happening in the US-Jordan trade relationship. Since 2000,

• Overall trade has risen from $728 million to $2.07 billion.
• US exports have more than doubled from $316 million to $650 million
• And Jordanian imports to the US have jumped from just $73 million to $1.42 billion. An increase of an astounding 1,800%.

Not only does the agreement lead to an expansion of trade with the United States, but historically, countries that enter into free trade agreements with the United States also see an increase in foreign investment and trade with other countries. In this way, an FTA serves as a “seal of approval” for other nations, opening new doors for Jordan in the global marketplace.

We have done well under the FTA, but I believe we can do better still. As U.S. investors lookfor partners in the Middle East, there is no reason that Jordan shouldn’t be one of the first places they look. Jordan is centrally located and has a wide variety of attractive opportunities.

The private sector continues to develop the best, brightest and most progressive new ideas in the world, and Jordan is already well engaged in competing in the global economy.

A pioneer in the region, it was the first Arab country to have an FTA with the United States. And I’m confident that the creativity and innovation that has brought Jordan to where it is today will continue well into the future.

It is an honor to welcome you to Washington as ambassador, and

on behalf of the American people, let me express our strong appreciation and gratitude for Jordan’s friendship. Congratulations again, Mr. Ambassador. I look forward to continuing the successful partnership between our two nations for many years to come.