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U.S.	
  Machinery	
  and	
  Equipment	
  Exporters	
  to	
  Benefit	
  from	
  
                                   Expanded	
  Access	
  to	
  Growing	
  Colombian	
  Market	
  
	
  
         May	
  2011	
  
         	
  
         U.S.	
  exporters	
  of	
  machinery	
  and	
  agricultural,	
  construction,	
  electrical,	
  medical	
  and	
  
         transportation	
  equipment	
  will	
  benefit	
  from	
  the	
  reduction	
  and	
  elimination	
  of	
  tariff	
  and	
  non-­‐
         tariff	
  barriers	
  to	
  trade	
  when	
  the	
  U.S.-­‐Colombia	
  Free	
  Trade	
  Agreement	
  (FTA)	
  is	
  
         implemented.	
  For	
  most	
  U.S.	
  equipment	
  exports,	
  tariffs	
  will	
  be	
  eliminated	
  immediately,	
  with	
  
         remaining	
  duties	
  to	
  be	
  phased	
  out	
  within	
  five	
  to	
  10	
  years.	
  In	
  addition,	
  as	
  part	
  of	
  the	
  FTA’s	
  
         Rules	
  of	
  Origin	
  chapter,	
  Colombia	
  will	
  end	
  its	
  ban	
  on	
  U.S.	
  remanufactured	
  equipment	
  
         exports	
  and	
  immediately	
  eliminate	
  tariffs	
  on	
  most	
  of	
  these	
  goods.	
  

        Machinery	
  
                                         	
  
              •                        In	
  2010,	
  U.S.	
  exporters	
  shipped	
  more	
  than	
  $1.2	
  billion	
  worth	
  of	
  machinery	
  goods	
  to	
  
                                       Colombia	
  –	
  the	
  15th	
  largest	
  market	
  for	
  U.S.	
  machinery	
  exports.	
  	
  
              	
  
              •                        Of	
  the	
  $1.2	
  billion	
  in	
  U.S.	
  machinery	
  exports	
  to	
  
                                                                                                                                                                                                                                                                                                   “Not	
  only	
  is	
  Colombia	
  one	
  of	
  
                                       Colombia,	
  small-­‐	
  and	
  medium-­‐sized	
  enterprises	
                                                                                                                                                                                             Caterpillar's	
  ten	
  largest	
  U.S.	
  export	
  
                                       (SMEs)	
  exported	
  $765	
  million.	
  	
  
                                                                                                                                                                                                                                                                                                   markets	
  by	
  country,	
  but	
  it	
  is	
  also	
  one	
  
              	
                                                                                                                                                                                                                                                                                   of	
  America's	
  closest	
  allies.	
  The	
  U.S.-­‐
              •                        Key	
  U.S.	
  machinery	
  exports	
  to	
  Colombia	
  include	
  air	
                                                                                                                                                                                   Colombia	
  Free	
  Trade	
  Agreement	
  will	
  
                                       and	
  liquid	
  pumps,	
  valves,	
  compressors,	
  lifting	
                                                                                                                                                                                             promote	
  U.S.	
  exports	
  and	
  support	
  
                                       machinery	
  and	
  parts.	
                                                                                                                                                                                                                                American	
  jobs.	
  The	
  agreement	
  is	
  also	
  
              	
                                                                                                                                                                                                                                                                                   a	
  validation	
  that	
  Colombia	
  is	
  a	
  good	
  
              •                        Colombian	
  tariffs	
  on	
  U.S.	
  machinery	
  exports	
  average	
                                                                                                                                                                                     place	
  to	
  conduct	
  business.”	
  
                                       9.4	
  percent,	
  but	
  can	
  reach	
  as	
  high	
  as	
  20	
  percent.	
                                                                                                                                                                              	
  

                                       Between	
  2008	
  and	
  2010,	
  U.S.	
  machinery	
  exporters	
                 -­‐	
  Doug	
  Oberhelman,	
  Chairman	
  and	
  
                                       paid	
  more	
  than	
  $365	
  million	
  in	
  Colombian	
  tariffs.	
  	
        CEO,	
  Caterpillar,	
  April	
  6,	
  2011	
  	
  
              	
                                                                                                           	
  
              •                        When	
  the	
  FTA	
  enters	
  into	
  force,	
  more	
  than	
  65	
  percent	
  of	
  U.S.	
  machinery	
  exports	
  
                                       will	
  receive	
  duty-­‐free	
  treatment	
  immediately,	
  with	
  remaining	
  tariffs	
  zeroed	
  out	
  in	
  
                                       two	
  phases	
  within	
  five	
  to	
  10	
  years.	
  	
  	
  

       Agricultural	
  Equipment	
  	
  
                                         	
  
              •                        Between	
  2008	
  and	
  2010,	
  the	
  United	
  States	
  exported	
  an	
  
                                       estimated	
  $19	
  million	
  in	
  agricultural	
  equipment	
  to	
  
                                       Colombia	
  –	
  the	
  18th	
  largest	
  market	
  for	
  U.S.	
  
                                       agricultural	
  equipment	
  exports	
  worldwide.	
  	
  
                                         	
                                       	
  



Embassy	
  of	
  Colombia	
  
www.colombiaemb.org	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  1	
  
•                   Key	
  U.S.	
  agricultural	
  equipment	
  exports	
  to	
  Colombia	
  include	
  tractors,	
  harvesting	
  
                                           equipment	
  and	
  machinery,	
  mowers	
  and	
  related	
  parts.	
  	
  
                                           	
  
                       •                   U.S.	
  agricultural	
  equipment	
  exporters	
  paid	
  an	
  estimated	
  $1	
  million	
  in	
  Colombian	
  
                                           tariffs	
  between	
  2008	
  and	
  2010.	
  	
  
   	
  
                       •                   When	
  the	
  FTA	
  enters	
  into	
  force,	
  roughly	
  97	
  percent	
  of	
  U.S.	
  agricultural	
  
                                           equipment	
  exports	
  will	
  become	
  duty	
  free	
  immediately,	
  with	
  the	
  remaining	
  
                                           tariffs	
  to	
  be	
  phased	
  out	
  within	
  five	
  years.	
  	
  
   	
  
            Construction	
  Equipment	
  	
  
              	
  
              •                        Colombia	
  is	
  the	
  9th	
  largest	
  market	
  for	
  U.S.	
  
                                       construction	
  equipment	
  exports,	
  with	
  these	
  goods	
                                                                                                                                                                                           “This	
  trade	
  agreement	
  will	
  expand	
  
                                       accounting	
  for	
  8.7	
  percent	
  of	
  U.S.	
  industrial	
  exports	
                                                                                                                                                                                U.S.	
  exports	
  to	
  Colombia	
  by	
  more	
  than	
  
                                       to	
  Colombia	
  between	
  2008	
  and	
  2010.	
  	
                                                                                                                                                                                                     $1.1	
  billion	
  and	
  give	
  over	
  80	
  percent	
  
              	
                                                                                                                                                                                                                                                                                   of	
  U.S.	
  agricultural	
  and	
  construction	
  
              •                        In	
  that	
  two-­‐year	
  period,	
  annually	
  the	
  United	
  States	
                                                                                                                                                                                equipment	
  immediate	
  duty	
  free	
  access	
  
                                       exported	
  an	
  average	
  of	
  more	
  than	
  $787	
  million	
  in	
                                                                                                                                                                                  to	
  this	
  important	
  emerging	
  market.	
  
                                       construction	
  equipment	
  to	
  Colombia.	
  	
                                                                                                                                                                                                          The	
  trade	
  agreement	
  also	
  provides	
  
              	
                                                                                                                                                                                                                                                                                   greater	
  protection	
  and	
  enforcement	
  of	
  
              •                        Key	
  U.S.	
  construction	
  equipment	
  exports	
  to	
  Colombia	
                                                                                                                                                                                     a	
  broad	
  range	
  of	
  intellectual	
  property	
  
                                       include	
  boring	
  and	
  sinking	
  machinery	
  and	
  parts,	
                                                                                                                                                                                         rights.”	
  
                                       dumpers,	
  shovel	
  loaders	
  and	
  track	
  laying	
  machinery	
                                                                                                                                                                                      	
  


                                       and	
  equipment.	
  	
                                                                                                                                                                                                                                     -­‐	
  Association	
  of	
  Equipment	
  
              	
                                                                                                                                                                                                                                                                                   Manufacturers,	
  April	
  12,	
  2011	
  	
  
                                                                                                                                                                                                                                                                                                   	
  
              •                        Colombian	
  tariffs	
  on	
  U.S.	
  construction	
  equipment	
  
                                       range	
  between	
  five	
  and	
  15	
  percent,	
  with	
  U.S.	
  
                                       exporters	
  facing	
  an	
  average	
  tariff	
  of	
  10.4	
  percent.	
  
                                       Between	
  2008	
  and	
  2010,	
  U.S.	
  construction	
  
                                       equipment	
  manufacturers	
  paid	
  more	
  than	
  $200	
  
                                       million	
  in	
  tariffs	
  on	
  exports	
  to	
  Colombia.	
  	
  
              	
  
              •                        When	
  the	
  FTA	
  enters	
  into	
  force,	
  98	
  percent	
  of	
  U.S.	
  
                                       construction	
  equipment	
  exports	
  would	
  receive	
  
                                       duty-­‐free	
  treatment	
  immediately,	
  with	
  the	
  
                                       remaining	
  two	
  percent	
  of	
  tariffs	
  to	
  be	
  phased	
  out	
  
                                       within	
  five	
  years.	
  
                                         	
                                        	
  




Embassy	
  of	
  Colombia	
  
www.colombiaemb.org	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  2	
  
Electrical	
  Equipment	
  	
  
                                        	
  
              •                        The	
  United	
  States	
  exported	
  nearly	
  $200	
  million	
  in	
  electrical	
  equipment	
  to	
  
                                       Colombia	
  between	
  2008	
  and	
  2010,	
  on	
  average,	
  making	
  Colombia	
  the	
  20th	
  largest	
  
                                       market	
  for	
  these	
  goods.	
  	
  
                                                      	
  
              •                        Key	
  U.S.	
  electrical	
  equipment	
  exports	
  to	
  Colombia	
  include	
  electronic	
  calculation	
  
                                       device	
  parts,	
  laser	
  disks	
  and	
  generating	
  sets.	
  	
  	
  
              	
  
              •                        Colombian	
  tariffs	
  on	
  U.S.	
  electrical	
  equipment	
  can	
                                                                                                                                                                                      “The	
  U.S.-­‐Colombia	
  FTA’s	
  aggressive	
  
                                       be	
  as	
  high	
  as	
  20	
  percent,	
  with	
  U.S.	
  exporters	
  facing	
                                                                                                                                                                           elimination	
  of	
  tariffs	
  on	
  U.S.	
  
                                       an	
  average	
  tariff	
  of	
  8.9	
  percent.	
  Between	
  2008	
  and	
                                                                                                                                                                                electroindustry	
  products,	
  which	
  range	
  
                                       2010,	
  U.S.	
  electrical	
  equipment	
  manufacturers	
  paid	
                                                                                                                                                                                         from	
  5	
  to	
  20	
  percent,	
  stands	
  to	
  improve	
  
                                       nearly	
  $63	
  million	
  in	
  tariffs	
  on	
  exports	
  to	
                                                                                                                                                                                          our	
  export	
  totals	
  even	
  further.”	
  
                                       Colombia.	
  	
                                                                                                                                                                                                                                             	
  

              	
                                                                                                                                                                                                                                                                                   -­‐	
  Evan	
  R.	
  Gaddis,	
  President	
  and	
  CEO,	
  
              •                        When	
  the	
  FTA	
  enters	
  into	
  force,	
  more	
  than	
  60	
                                                                                                                                                                                      NEMA	
  –	
  The	
  Association	
  of	
  Electrical	
  
                                       percent	
  of	
  U.S.	
  electrical	
  equipment	
  exports	
                                                                                                                                                                                               and	
  Medical	
  Imaging	
  Equipment	
  
                                       would	
  receive	
  duty-­‐free	
  treatment	
                                                                                                                                                                                                              Manufacturers,	
  April	
  6,	
  2011	
  	
  
                                       immediately,	
  with	
  the	
  remaining	
  tariffs	
  to	
  be	
                                                                                                                                                                                           	
  
                                       eliminated	
  in	
  three	
  phases	
  within	
  10	
  years	
  of	
  the	
  
                                       agreement’s	
  implementation.	
  	
  	
  

       Medical	
  Equipment	
  
                                       	
  
              •                        Colombia	
  is	
  the	
  16th	
  largest	
  market	
  for	
  U.S.	
  
                                       medical	
  equipment	
  exports,	
  and	
  between	
  2008	
  
                                       and	
  2010,	
  the	
  United	
  States	
  exported	
  $247	
  million	
  
                                       in	
  medical	
  equipment	
  to	
  Colombia,	
  on	
  average.	
  
              	
  
              •                        Key	
  U.S.	
  medical	
  equipment	
  exports	
  to	
  Colombia	
  
                                       include	
  diagnostic	
  and	
  laboratory	
  reagents,	
  
                                       electro-­‐diagnostic	
  apparatus	
  and	
  medical	
  needles	
  
                                       and	
  other	
  supplies.	
  	
  
              	
  
              •                        U.S.	
  exporters	
  of	
  these	
  goods	
  currently	
  face	
  
                                       Colombian	
  tariffs	
  that	
  range	
  between	
  five	
  and	
  15	
  
                                       percent.	
  The	
  average	
  tariff	
  is	
  7.6	
  percent.	
  Between	
  2008	
  and	
  2010,	
  U.S.	
  medical	
  
                                       equipment	
  exporters	
  paid	
  more	
  than	
  $40	
  million	
  in	
  Colombian	
  tariffs.	
  
              	
  
              •                        Nearly	
  all	
  –	
  98	
  percent	
  –	
  of	
  U.S.	
  medical	
  equipment	
  exports	
  to	
  Colombia	
  will	
  
                                       receive	
  immediate	
  duty-­‐free	
  treatment	
  when	
  the	
  FTA	
  enters	
  into	
  force.	
  	
  
                                         	
  
                                         	
  
                                         	
  
              	
  

Embassy	
  of	
  Colombia	
  
www.colombiaemb.org	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  3	
  
 
                •                  Between	
  2008	
  and	
  2010,	
  the	
  United	
  States	
  exported	
  more	
  than	
  $81	
  million	
  •n	
   i                                                                                                                                            	
  	
  
                                   shipping	
  and	
  transportation	
  equipment	
  to	
  Colombia	
  –	
  the	
  8th	
  largest	
  U.S.	
   •                                                                                                                                                    	
  
                                   market	
  for	
  these	
  goods.	
  	
  
                                                                                                                                                      •                                                                                                                                            	
  
                                   	
  
                                                                                                                                                      •                                                                                                                                            	
  
                •                  Key	
  U.S.	
  exports	
  in	
  this	
  sector	
  include	
  trailers,	
  semi-­‐trailers,	
  railway	
  cars	
  and	
  
                                                                                                                                                      •                                                                                                                                            	
  
                                   truck	
  axels	
  and	
  wheels.	
  
                                                                                                                                                      •                                                                                                                                            	
  
              	
                                 	
  
              •                        While	
  U.S.	
  exporters	
  face	
  an	
  average	
  
                                       Colombian	
  tariff	
  of	
  9.3	
  percent	
  on	
  these	
  goods,	
  
                                       duties	
  can	
  reach	
  as	
  high	
  as	
  20	
  percent.	
  U.S.	
  
                                       exporters	
  paid	
  more	
  than	
  $26	
  million	
  in	
  
                                       tariffs	
  on	
  shipping	
  and	
  transportation	
  
                                       equipment	
  exports	
  to	
  Colombia	
  between	
  2008	
  
                                       and	
  2010.	
  
              	
  
              •                        Upon	
  implementation	
  of	
  the	
  FTA,	
  more	
  than	
  
                                       87	
  percent	
  of	
  U.S.	
  shipping	
  and	
  
                                       transportation	
  exports	
  will	
  receive	
  duty-­‐
                                       free	
  treatment	
  immediately,	
  with	
  remaining	
  
                                       tariffs	
  to	
  be	
  phased	
  out	
  in	
  two	
  phases	
  over	
  five	
  
                                       to	
  10	
  years	
  




Embassy	
  of	
  Colombia	
  
www.colombiaemb.org	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
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Equipment machinery & us-colombia fta - may 2011

  • 1. U.S.  Machinery  and  Equipment  Exporters  to  Benefit  from   Expanded  Access  to  Growing  Colombian  Market     May  2011     U.S.  exporters  of  machinery  and  agricultural,  construction,  electrical,  medical  and   transportation  equipment  will  benefit  from  the  reduction  and  elimination  of  tariff  and  non-­‐ tariff  barriers  to  trade  when  the  U.S.-­‐Colombia  Free  Trade  Agreement  (FTA)  is   implemented.  For  most  U.S.  equipment  exports,  tariffs  will  be  eliminated  immediately,  with   remaining  duties  to  be  phased  out  within  five  to  10  years.  In  addition,  as  part  of  the  FTA’s   Rules  of  Origin  chapter,  Colombia  will  end  its  ban  on  U.S.  remanufactured  equipment   exports  and  immediately  eliminate  tariffs  on  most  of  these  goods.   Machinery     • In  2010,  U.S.  exporters  shipped  more  than  $1.2  billion  worth  of  machinery  goods  to   Colombia  –  the  15th  largest  market  for  U.S.  machinery  exports.       • Of  the  $1.2  billion  in  U.S.  machinery  exports  to   “Not  only  is  Colombia  one  of   Colombia,  small-­‐  and  medium-­‐sized  enterprises   Caterpillar's  ten  largest  U.S.  export   (SMEs)  exported  $765  million.     markets  by  country,  but  it  is  also  one     of  America's  closest  allies.  The  U.S.-­‐ • Key  U.S.  machinery  exports  to  Colombia  include  air   Colombia  Free  Trade  Agreement  will   and  liquid  pumps,  valves,  compressors,  lifting   promote  U.S.  exports  and  support   machinery  and  parts.   American  jobs.  The  agreement  is  also     a  validation  that  Colombia  is  a  good   • Colombian  tariffs  on  U.S.  machinery  exports  average   place  to  conduct  business.”   9.4  percent,  but  can  reach  as  high  as  20  percent.     Between  2008  and  2010,  U.S.  machinery  exporters   -­‐  Doug  Oberhelman,  Chairman  and   paid  more  than  $365  million  in  Colombian  tariffs.     CEO,  Caterpillar,  April  6,  2011         • When  the  FTA  enters  into  force,  more  than  65  percent  of  U.S.  machinery  exports   will  receive  duty-­‐free  treatment  immediately,  with  remaining  tariffs  zeroed  out  in   two  phases  within  five  to  10  years.       Agricultural  Equipment       • Between  2008  and  2010,  the  United  States  exported  an   estimated  $19  million  in  agricultural  equipment  to   Colombia  –  the  18th  largest  market  for  U.S.   agricultural  equipment  exports  worldwide.         Embassy  of  Colombia   www.colombiaemb.org                                                                                                                                    1  
  • 2. Key  U.S.  agricultural  equipment  exports  to  Colombia  include  tractors,  harvesting   equipment  and  machinery,  mowers  and  related  parts.       • U.S.  agricultural  equipment  exporters  paid  an  estimated  $1  million  in  Colombian   tariffs  between  2008  and  2010.       • When  the  FTA  enters  into  force,  roughly  97  percent  of  U.S.  agricultural   equipment  exports  will  become  duty  free  immediately,  with  the  remaining   tariffs  to  be  phased  out  within  five  years.       Construction  Equipment       • Colombia  is  the  9th  largest  market  for  U.S.   construction  equipment  exports,  with  these  goods   “This  trade  agreement  will  expand   accounting  for  8.7  percent  of  U.S.  industrial  exports   U.S.  exports  to  Colombia  by  more  than   to  Colombia  between  2008  and  2010.     $1.1  billion  and  give  over  80  percent     of  U.S.  agricultural  and  construction   • In  that  two-­‐year  period,  annually  the  United  States   equipment  immediate  duty  free  access   exported  an  average  of  more  than  $787  million  in   to  this  important  emerging  market.   construction  equipment  to  Colombia.     The  trade  agreement  also  provides     greater  protection  and  enforcement  of   • Key  U.S.  construction  equipment  exports  to  Colombia   a  broad  range  of  intellectual  property   include  boring  and  sinking  machinery  and  parts,   rights.”   dumpers,  shovel  loaders  and  track  laying  machinery     and  equipment.     -­‐  Association  of  Equipment     Manufacturers,  April  12,  2011       • Colombian  tariffs  on  U.S.  construction  equipment   range  between  five  and  15  percent,  with  U.S.   exporters  facing  an  average  tariff  of  10.4  percent.   Between  2008  and  2010,  U.S.  construction   equipment  manufacturers  paid  more  than  $200   million  in  tariffs  on  exports  to  Colombia.       • When  the  FTA  enters  into  force,  98  percent  of  U.S.   construction  equipment  exports  would  receive   duty-­‐free  treatment  immediately,  with  the   remaining  two  percent  of  tariffs  to  be  phased  out   within  five  years.       Embassy  of  Colombia   www.colombiaemb.org                                                                                                                                    2  
  • 3. Electrical  Equipment       • The  United  States  exported  nearly  $200  million  in  electrical  equipment  to   Colombia  between  2008  and  2010,  on  average,  making  Colombia  the  20th  largest   market  for  these  goods.       • Key  U.S.  electrical  equipment  exports  to  Colombia  include  electronic  calculation   device  parts,  laser  disks  and  generating  sets.         • Colombian  tariffs  on  U.S.  electrical  equipment  can   “The  U.S.-­‐Colombia  FTA’s  aggressive   be  as  high  as  20  percent,  with  U.S.  exporters  facing   elimination  of  tariffs  on  U.S.   an  average  tariff  of  8.9  percent.  Between  2008  and   electroindustry  products,  which  range   2010,  U.S.  electrical  equipment  manufacturers  paid   from  5  to  20  percent,  stands  to  improve   nearly  $63  million  in  tariffs  on  exports  to   our  export  totals  even  further.”   Colombia.         -­‐  Evan  R.  Gaddis,  President  and  CEO,   • When  the  FTA  enters  into  force,  more  than  60   NEMA  –  The  Association  of  Electrical   percent  of  U.S.  electrical  equipment  exports   and  Medical  Imaging  Equipment   would  receive  duty-­‐free  treatment   Manufacturers,  April  6,  2011     immediately,  with  the  remaining  tariffs  to  be     eliminated  in  three  phases  within  10  years  of  the   agreement’s  implementation.       Medical  Equipment     • Colombia  is  the  16th  largest  market  for  U.S.   medical  equipment  exports,  and  between  2008   and  2010,  the  United  States  exported  $247  million   in  medical  equipment  to  Colombia,  on  average.     • Key  U.S.  medical  equipment  exports  to  Colombia   include  diagnostic  and  laboratory  reagents,   electro-­‐diagnostic  apparatus  and  medical  needles   and  other  supplies.       • U.S.  exporters  of  these  goods  currently  face   Colombian  tariffs  that  range  between  five  and  15   percent.  The  average  tariff  is  7.6  percent.  Between  2008  and  2010,  U.S.  medical   equipment  exporters  paid  more  than  $40  million  in  Colombian  tariffs.     • Nearly  all  –  98  percent  –  of  U.S.  medical  equipment  exports  to  Colombia  will   receive  immediate  duty-­‐free  treatment  when  the  FTA  enters  into  force.             Embassy  of  Colombia   www.colombiaemb.org                                                                                                                                    3  
  • 4.   • Between  2008  and  2010,  the  United  States  exported  more  than  $81  million  •n   i     shipping  and  transportation  equipment  to  Colombia  –  the  8th  largest  U.S.   •   market  for  these  goods.     •     •   • Key  U.S.  exports  in  this  sector  include  trailers,  semi-­‐trailers,  railway  cars  and   •   truck  axels  and  wheels.   •       • While  U.S.  exporters  face  an  average   Colombian  tariff  of  9.3  percent  on  these  goods,   duties  can  reach  as  high  as  20  percent.  U.S.   exporters  paid  more  than  $26  million  in   tariffs  on  shipping  and  transportation   equipment  exports  to  Colombia  between  2008   and  2010.     • Upon  implementation  of  the  FTA,  more  than   87  percent  of  U.S.  shipping  and   transportation  exports  will  receive  duty-­‐ free  treatment  immediately,  with  remaining   tariffs  to  be  phased  out  in  two  phases  over  five   to  10  years   Embassy  of  Colombia   www.colombiaemb.org                                                                                                                                    4