US and Jordan Ink New Trade Deal, Capping Tariffs at 10%

The United States and Jordan formalized a new reciprocal trade agreement in Washington on Tuesday, with both governments aiming to strengthen commercial ties as part of their long-standing strategic partnership.

The deal was signed by Jordanian Industry, Trade and Supply Minister Yarub Qudah and US Trade Representative Jamieson Greer, according to Jordan’s state-run Petra news agency. The agreement comes after nearly a year of negotiations and is designed to build upon the US-Jordan Free Trade Agreement, which has been in effect since 2001.

Under the terms of the new deal, the United States will limit reciprocal tariffs on Jordanian imports to 10% and grant expanded preferential access to the American market for Jordan’s textile and apparel industry. Jordanian officials noted that garments and textiles rank among the country’s top exports to the US, and the new provisions are meant to support that sector.

On the other side of the agreement, Jordan agreed to maintain duty-free treatment for American goods under the existing free trade framework and to eliminate non-tariff barriers that have limited access for US exporters. The White House indicated the deal would create new openings for American industries, specifically mentioning agricultural producers and vehicle manufacturers as potential beneficiaries.

Both governments also agreed to pursue cooperation on customs modernization, labor and environmental standards, intellectual property protections, and fair trade practices, Petra reported. The agreement also addresses digital trade, with Jordan committing to refrain from imposing taxes or tariffs on digital services and expressing support for the World Trade Organization’s moratorium on customs duties related to electronic transmissions.

Jordan’s exports to the United States reached 595 million Jordanian dinars — roughly $839 million — during the first four months of 2026, led by garments, textiles, jewelry, machinery, electrical equipment, and pharmaceuticals, according to Petra. Both countries said they plan to continue discussions on services and investment, suggesting this agreement could be a stepping stone toward deeper economic cooperation.