What was the first Free Trade Agreement (FTA) entered into by the United States?
If you said the United States-Israel FTA, you’re correct! Also referred to as the Israel FTA, this agreement continues to serve as the foundation for expanding trade and investment between the United States and Israel.
Here are some interesting facts about our trade relationship with Israel via the Office of the U.S. Trade Representative:
Israel was the United States' 23rd largest goods export market in 2013.
As of 2013, U.S. goods and services trade with Israel totaled $46 billion.
U.S. goods exports to Israel in 2013 totaled $13.7 billion, which was up 526% from 1984 (pre-FTA).
The top export categories (two-digit HS code) in 2013 were precious stones - diamonds ($5.8 billion), electrical machinery ($1.6 billion), machinery ($1.0 billion), aircraft ($823 million), and optic and medical instruments ($666 million).
How the Israel COO Works
The U.S.-Israel FTA was signed into legislation more than 30 years ago. For exports to Israel, this FTA can reduce the tariff to zero by eliminating nearly all tariffs and administrative import licensing requirements.
In order to qualify under the U.S.-Israel FTA your goods must:
Be grown, produced or manufactured in the U.S. and contain at least 35% U.S. content (materials and labor), and
Be imported directly from the U.S. into the customs territory of Israel.
The FTA functions like most free trade agreements, but with one exception: Unlike most other FTA certificates of origin, this one has a specific format (like NAFTA). Unlike NAFTA, the Israeli COO must be printed on paper with a green watermark.
When completing the Israel COO, pay special attention to column 8: origin criterion. If the goods are wholly grown, produced or manufactured in the U.S., enter the letter P. If the goods are not wholly grown, produced or manufactured in the U.S., enter the letter Y and the percentage of value added in the U.S. and/or Israel. For example, if half the value was added in the U.S., enter Y=50%.
Characteristics of the Israel FTA COO
In order for U.S. exporters to qualify for preferential access to the Israeli market, a special COO must accompany all shipments from the United States to Israel. The correct certificate of origin for Israel—the U.S. Certificate of Origin for Exports to Israel—is green in color and has "for exports to Israel" printed at the top of the form.
You can purchase the Israel FTA Certificate of Origin from the U.S. Commercial Service Minnesota office by calling (612) 348-1637, or from various American-Israel Chambers of Commerce located throughout the U.S. For more details on how to complete the form, reference Lisa Nemer’s article, How to Complete a U.S. Certificate of Origin for Exports to Israel.
Product Model | Inside Diameter | Outside Diameter | Thickness |
KRU85X NTN | 30 | 85 | 37 |
KRU80X NTN | 30 | 80 | 37 |