Oman plays an important role in helping the U.S. realize its wide-ranging stability goals for the region. Oman is strategically located on a key naval chokepoint through which 30% of the world’s maritime oil shipments pass. Oman’s longstanding partnership with the U.S. is critical to our mutual national security objectives, including countering terrorism, increasing economic diversification and development opportunities, and promoting regional stability. Demonstrating commitment to our security cooperation remains important as Oman becomes increasingly concerned about regional destabilization and the ongoing conflict in Yemen.
U.S. Assistance to Oman
U.S. assistance contributes to counter-piracy and counter narcotics smuggling efforts, enhances law enforcement and investigations techniques (particularly relating to cyber-enabled crime), strengthens Oman’s capability to monitor and control its borders, builds capacity on curbing terrorism financing, and improves interoperability of the Omani military with U.S. forces. FY2018 grant assistance in the form of International Military Education and Training was $2 million. FY2017 financing for Anti-terrorism Assistance exceeded $3 million.
Bilateral Economic Relations
The U.S. and Oman share Oman’s only bilateral Free Trade Agreement (FTA), which has been in force since 2009. There has been a consistent call in Oman for the expanded utilization of the FTA as well as a push to highlight the many benefits the Agreement brings to Omani and American companies, including a no-minimum investment requirement for new businesses in Oman and 100% foreign ownership. U.S. exports to Oman include machinery, vehicles, aircraft, agricultural products, and medical instruments. U.S. imports from Oman include crude oil, textiles, jewelry, plastics, fertilizers, iron, and steel products.