The United States and Panama signed a Free Trade Agreement (FTA), also known as the Panama-United States Trade Promotion Agreement (TPA), in 2007. However, the TPA, a global free trade agreement intended to eliminate tariffs and barriers to financial services, among others, entered into force on October 31, 2012.
This year marks the 10th anniversary of the signing of the TPA between Panama and the United States. Producer unions and associations have been demanding that negotiations be opened to address the extension of the elimination of some of the country’s sensitive products, such as dairy, rice, beef, and poultry. Ramon Martinez, Minister of Commerce and Industries, sent a note to the US requesting a dialogue to renegotiate the TPA and are awaiting a response. The Minister of Agricultural Development, Augusto Valderrama, warned that “if the US does not accept, we would have to look for alternatives and that would be to export these products to other countries.” One of these alternatives would be to initiate a free trade agreement (FTA) with the People’s Republic of China (PRC). Ramón Martínez commented that currently, the PRC accepts Panama’s exports without a treaty, but he did not rule out an FTA in the future.
Main story:
La Estrella Panamá: Negativa de EE. UU. de renegociar TPC empujaría a Panamá a buscar un tratado comercial con China.
Find out more:
Embassy of the United States in Panamá: Tratado de Promoción Comercial EE.UU.-Panamá.