This Note argues that the rules of origin in the U.S.-Israel FTA must be reformed to improve the opportunities for trade between the United States and Israel and to facilitate greater economic cooperation among the countries in the Middle East. Part I discusses the benefits of FTAs, presents the rules of origin that the United States uses in different agreements, including the current U.S.-Israel FTA, and examines the European Community's rules of origin and the rules of origin in the EC-Israel FTA. Part II examines the recently-concluded EC-Israel Association Agreement and compares its rules of origin to those in the EC-Israel FTA. Part II also discusses recent developments related to the U.S.-Israel FTA, including two disputes regarding the application of the U.S.-Israel FTA's rules of origin. Finally, Part II presents criticisms regarding the U.S. rules of origin in general and the rules of origin in the U.S.-Israel FTA in particular. Part III proposes changes and additions to the U.S.-Israel FTA's rules of origin and argues that these would facilitate extension of the U.S.-Israel FTA to include other parties in the Middle Eastern region, encouraging other countries to enter into FTAs with governments in the Middle East. This Note concludes that changes in the U.S.-Israel FTA's rules of origin would provide a degree of predictability and liberalization of free trade rules that would contribute to Middle Eastern peace and advance international economic cooperation.
Allan S. Galper,
Restructuring Rules of Origin in the U.S.-Israel Free Trade Agreement: Does the EC-Israel Association Agreement Offer an Effective Model?,
19 Fordham Int'l L.J. 2028
Available at: http://ir.lawnet.fordham.edu/ilj/vol19/iss5/13