Bilateral Trade Agreements Home About the Gulf Bilateral Trade Agreements

Bilateral Trade Agreements

Bahrain has bilateral trade and economic agreements with over 40 countries, including: China, France, India, and the United Kingdom. Bahrain has Free Trade Agreements with Singapore (GSFTA) and the EFTA States (Iceland, Liechtenstein, Norway & Switzerland), and Duty Free Access with the 17 Arab states party to the Greater Arab Free Trade Agreement (GAFTA).

Moreover, Bahrain has signed agreements regarding:

Promotion & Protection of Investment with 34 countries

Avoidance of Double Taxation with 41 countries

Reciprocal Exemption of International Air Transport with 6 countries

Economic, Trade and Technical Co-operation with 31 countries


Bahrain was also the first Gulf country to have a Free Trade Agreement with the United States of America. Negotiations were launched in 2004 and implementation in 2006. The FTA has had positive contribution to trade between the US and Bahrain, it increased from about 1.1 billion US dollars in 2006 to about 2 billion US dollars in 2012.


What is the Bahrain-USA Free Trade Agreement?

As a member of the World Trade Organisation and the Gulf Co-operation Council, Bahrain is positioned to offer a variety of incentives to investors keen on accessing both international and regional markets.

The Free Trade Agreement (FTA) with the United States of America is part of a series of bilateral trade and investment treaties the Kingdom has signed in order to boost its trade and business incentives.

Key benefits of the FTA to Bahraini businesses include:

  • Eliminating all tariff and non-tariff barriers to trade, thus reducing the cost burdens of exporting and increasing the competitiveness of Bahrain products in the US markets
  • Eliminating all barriers to trade in services and the opening of the US market to Bahrain service providers to provide services through local presence or across border, presenting a platform for the expansion of Bahrain’s services sector
  • Granting Bahraini service providers National or Most Favoured Nation Treatment, allowing competition on common grounds with their US counterparts and to provide their services in the United States without additional regulatory burdens
  • Re-enforcing the highest standards of labour, environment, and intellectual property protection
  • Non-Bahraini manufacturers and service companies are also provided the option of establishing ventures in Bahrain in order to gain access to the United States markets. Vice-versa, U.S. manufacturers and service providers will have the option of providing services to the greater Gulf and Arab region by establishing in Bahrain

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