摘要：The Qualifying Industrial Zones (QIZ) Agreement signed in 2004 allows Egypt to gain non-reciprocal, duty-free access to U.S. markets for products containing at least 11.7 percent Egyptian and 11.7 percent Israeli components. This paper argues that the political achievements and economic gains from the QIZ Agreement will be limited. The Egyptian government views the QIZ as a quick fix to prevent job-shedding in the textile sector and as a stepping stone to a direct bilateral trade agreement with the United States. However, U.S. mistrust about Egypt's law enforcement regime and skepticism about broader political trends within Egypt has delayed the start of negotiations for a U.S.-Egypt agreement. Moreover, the Bush Administration's plan to create a Middle East Free Trade Area (MEFTA) by 2013 will gradually undermine the QIZ framework and divert investment toward countries that achieve bilateral preferential agreements with the United States. Israel views the agreement primarily in political terms. Although the QIZ provides a modest boost in exports and a chance to salvage market share in a labor-intensive industry, it mainly functions to remove the Arab "taboo" against conducting business openly with Israeli firms. Persistent political tensions in the region will discourage Israel from expanding the scope of investments in Egypt.
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