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Uruguay

Uruguay has a nominally progressive government that came to power on the strength of its critique of neoliberalism. However, one segment of the current Frente Amplio administration has leaned in favour of seeking FTA-type economic agreements. There is ongoing discord within the government around the possible signing of an FTA with the US.

Uruguay is a member of Mercosur, which prohibits member countries from signing bilateral FTAs, and the Uruguayan government’s stance has caused significant tensions within Mercosur, at times bringing it to the verge of dissolution.

Intense debate has taken place within the government itself. So far, the faction opposed to FTAs has won out.

Nevertheless, Uruguay signed a trade and investment framework agreement (TIFA) with the US in January 2007. Many observers saw this as a first step towards the signing of an FTA.

Since José "Pepe" Mujica (also with Frente Amplio) took the presidency in March 2010, a new period in Uruguay’s foreign policy began and the country no longer discusses an FTA with the US.

last update: May 2012

Photo: Victor Barro


Uruguay, US sign bilateral trade treaty
Uruguay and the United States signed a bilateral trade agreement Monday to safeguard foreign business investments in each other’s countries while promoting trade and exports.
Uruguay secretly concluded a Bilateral Investment Agreement with the US
The Minister of the Economy, Isaac Alfie, and the US Trade Representative Robert Zoellick, concluded a Bilateral Investment Agreement without disclosing its contents to either the Uruguayan members of parliament or to the Uruguayan society as a whole.
US, Uruguay begin BIT talks
The U.S. Trade Representative’s office said Tuesday it had begun talks with Uruguay on a treaty to expand investment ties.