B. A serious balance-of-payments situation would be indicated by one or more of the following: a significant deterioration in trade and current account positions, a strong pressure on the exchange rate or a significant decrease in net reserves, as predicted by either a decrease in reserves or an increase in short-term debt. 1. A joint committee is established to monitor the proper implementation of this agreement and to examine trade relations between the parties. Trade in services with Israel (exports and imports) was estimated at $13.2 billion in 2017. Services exports were $5.9 billion; Imports of services amounted to $7.4 billion. The services trade deficit with Israel was $1.5 billion in 2017. 5. The temporary trade measures applied under paragraph 1 are compatible, in terms of duration and effect, with the seriousness of the balance-of-payments problem to which the contracting party imposes action and are gradually relaxed as the balance of payments situation of that party improves. The free trade agreement between the United States and Israel was the first free trade agreement of its kind by the United States.  This is the only free trade agreement signed by the United States that does not contain a chapter on intellectual property rights that are an integral part of all subsequent U.S. trade agreements.  7.
When applying temporary trade measures, the parties will not treat imports from the other party less favourably than imports from third countries and will not compromise the relative benefits granted to the other party under this agreement. 3. If, in the opinion of the importing party, the importation of a product from the other contracting party is not a major cause of the serious injury or threat under paragraph 1, the importing party may exempt the product from the other party from any import facility that may be imposed on imports of that product from third countries. , taking into account the objective of bilateral free trade, national legislation and the international obligations of the parties set out in this agreement. 2. Temporary trade measures that can be applied in accordance with paragraph 1 are: 1. When a product is imported in quantities high enough to constitute a serious cause of serious harm or a serious threat to domestic producers of similar or directly competitive products, the importing party consults with the other contracting party in accordance with Article 18 before taking action affecting the other party`s trade.Originally published on April 13, 2021