A recent report from the Atlantic Council, an American think tank, examined the US-Morocco Free Trade Agreement (FTA) signed two decades ago, highlighting its role in boosting Morocco’s economy and transforming its workforce.
The source underscored that the US-Morocco FTA—alongside similar agreements with other countries such as the European Union, China, Egypt, Turkey, and the United Arab Emirates—has helped Morocco diversify its economy by eliminating tariffs and easing trade barriers.
It further explained that the FTA, by granting access to the vast US market, spurred Moroccan companies to venture into high-tech manufacturing, such as automotive and aeronautics parts and electronics.
The report emphasized that this has fueled a steady rise in trade between the two nations.
The same source, quoting the Office of the United States Trade Representative, said that bilateral trade in goods and services has flourished to nearly $7 billion annually, underscoring the strengthened economic ties between the two countries.
Also, it reported that the US-Morocco FTA and other trade agreements have yielded a significant boost in foreign direct investment (FDI).
The agreement’s framework instilled confidence in US and EU investors, triggering an influx of investment in diverse sectors like manufacturing, tourism, and renewable energy.
The report explained that these investments have played a crucial role in job creation and fostering skilled labor within the Moroccan workforce.
It also noted that the surge in renewable energy has positioned Morocco as a frontrunner in the green energy industry.
The same source emphasizes that Morocco is a gateway to Europe and Africa. It has offered a stable political environment, modern infrastructure, and a prime location for investors in emerging market economies.
However, the Atlantic Council report recommended Morocco prioritize sharpening its competitive edge to become a key player in the global supply chain, emphasizing that the Royal initiative “Atlantic Sahel” aligns with this vision.
