It's very difficult to get anything from the United States in an election year

Jordanian company director Omar Salah

But the trade agreement is viewed by Washington as an important way to reward Jordan's steadfastness in sticking to its peace treaty with Israel.

Most Jordanians feel they have not benefited much from the treaty, which had been expected to lead to a flood of outside investments for industrial projects, creating significant employment opportunities.

It was thought that Jordan's well educated and inexpensive workforce would provide a key incentive for outsiders to invest in the country.

But Israeli security concerns have strangled trade between Jordan and its natural market on the West Bank and promises of foreign investment projects have largely failed to materialise.

Exceptional growth

Jordanian businessman Omar Salah's company, Century, is an exception.

The trade agreement is an achievement for King Abdallah

Set up in the wake of the peace treaty, Century is involved in a number of joint ventures with American and Israeli companies at Jordan's northern industrial zone in Irbid.

It has grown in the space of only a few years from a company employing 60 people to one employing 5,000.

But the cold nature of the peace with Israel means that more Far Eastern companies are now being attracted to Jordan than Israeli ones.

Mr Salah hopes that today's free trade agreement with the United States will help offset the damage caused by the climate of hostility in the region by improving Jordan's ability to attract more investment from Europe and the Far East.

Achievement for King Abdallah

"The most important thing about the free trade agreement with the US is that it allows exporters to use inputs from countries in the Far East and Europe and use them for manufacture in Jordan and export it into the US without any duty and any quota. This is an advantage that we have over and above even Mexico," Mr Salah says.

Tuesday's agreement is a huge achievement for King Abdullah, and a tribute to his intensive efforts to reform the Jordanian economy and lobby Washington for more assistance since he came to the throne in February, argues Mr Salah.

"I have to say that the free trade agreement is a testament to the aggressive way the King has fought to get this, as well as to support from the US government. It's very difficult to get anything from the United States in an election year."