Australia now has the opportunity to more closely integrate
its economy with the United States through increased trade and
- Two thirds of all agricultural tariffs - including in
important commodities such as lamb, sheep meat and
horticultural products, were eliminated immediately
- a further 9 per cent of tariffs were cut to zero in 2008.
- AUSFTA provides greater access to the US market for two of Australia's key agricultural export industries, beef and dairy.
- Australia's quarantine and food safety regimes, which
ensure our health and our environment are protected, are not
affected by the Agreement.
- Duties on more than 97 per cent of US non-agricultural
tariff lines (excluding textiles and clothing) became duty
free from day one of the Agreement.
- Tariffs on textiles, some footwear and a handful of other
items will be phased out, with all trade in goods free of
duty by 2015.
- A mechanism to address non-tariff barriers was
- Access to US markets has been locked in for Australian
service suppliers such as providers of professional,
business, education, environmental, financial and transport
- A framework to promote mutual recognition of professional
services has been developed - which has led to Australian
lawyers being allowed to provide services in Australian law
in Delaware and Australian engineers gaining a temporary
practise right in Texas.
- Australia's financial sector will reap the benefits
associated with financing the increased trade in goods and
services flowing from the Agreement.
- Future access for Australian financial services providers
to the world's largest financial market is assured through
the Agreement guaranteeing that any future US liberalisation
in this sector cannot be reversed.
- Australia and the US agreed to jointly consider a number
of issues regarding the closer integration of our financial
- The US federal government procurement market, worth at
least US$535 billion annually (2011), and that of 31 state
governments are now open to Australia.
- Australia has a waiver from many US programs favouring US
firms and products.
- Australian preferences for small businesses and
indigenous people remain in place.
- Australia's IP laws will be substantially harmonised with
the world's largest intellectual property market, and a
global leader in innovation and creative products.
- Australia's international reputation as one of the
world's leading countries in protecting and enforcing
intellectual property rights has been reinforced.
- Standards of intellectual property protection are beyond
those provided by multilateral agreements such as the WTO
TRIPS agreement and WIPO Treaties.
- The Agreement provides a strong framework to promote high
levels of two-way investment between Australia and the
- There is no investor-state dispute settlement provision
in the Agreement.
- The Agreement preserves Australia's foreign investment
policy, but with a includes changes that maintain our ability
to screen all investment of major significance.
- Access by Australians to affordable medicines under the
PBS has been maintained under the AUSFTA.
- The Agreement reinforces Australia's existing framework
for intellectual property protection of pharmaceuticals.
- The Agreement protects our right to ensure local content
on Australian media, and retains the capacity to regulate new
and emerging media, including digital and interactive
- AUSFTA ensures that there can be Australian voices and
stories on audiovisual and broadcasting services, now and in
- Australia and the United States agreed to eliminate
customs duties on almost all automotive products from the day
the agreement enters into force.
- The 2.5 per cent duty on passenger motor vehicles, the 25
per cent tariff on light commercial vehicles and tariffs on
auto parts and accessories exports were immediately
- Australian duties on passenger motor vehicles will be
phased out, to zero in 2010.
- The Agreement ensures that Australia and the United
States continue to cooperate on competition law and
- Businesses and individuals are to be treated fairly in
enforcing competition law.
- Consumer protection agencies will work together in
combating illegal activity.
- Consumers and investors defrauded or deceived now have
- The Agreement ensures the maintenance of pro-competitive
regulatory frameworks for Australian and US companies, high
standards of transparency and WTO-plus rules on major
- AUSFTA provides a new avenue for consultations with the
United States on market access and embraces a market-based
regulatory approach .
- AUSFTA recognises the importance of there being no
barriers to trade conducted electronically.
- Australia is still be able to regulate for public policy
- Trade and investment is encouraged by facilitating
Rules of origin
- Simple and objective tests apply to rules of origin for
manufactured products, which must be substantially
transformed in either Australia or the United States before
they can benefit from the Agreement.
- The Agreement applies the change of tariff classification
approach, with a straightforward method of claiming origin
that does not require obtaining a certificate of origin.
Sanitary and Phyto-sanitary measures
- The integrity of Australia's quarantine regime and our
right to protect animal, plant, and human health and life are
- Decisions about market access on quarantine or food
safety grounds will continue to be made on the basis of
- A framework for discussions on specific products has been
Technical Regulations and Standards
- Australian exporters now have greater opportunities to
understand and meet US requirements dealing with technical
regulations and standards.
- A framework for exporters to work with government in
tackling barriers has been established.
Environment and labour
- The Parties agreed not to fail to enforce their own
environmental and labour laws in a manner affecting trade
between the Parties.
- Both Parties retain the right to establish their own
domestic environmental and labour standards, and to adapt or
modify their own laws.