The United States and Oman concluded a treaty of friendship and navigation in 1833. It was replaced in 1958 by the Treaty of Amity, Economic Relations, and Consular Rights. Diplomatic relations were established in 1972. Since 1980 Oman and the United States have been parties to a military cooperation agreement, which was revised and renewed in 2010.
Oman plays an important role in helping the United States realize its regional stability goals. Oman is strategically located on a key naval chokepoint through which passes 40% of the world’s exported oil shipments. The Government of Oman relies heavily on foreign assistance capacity-building that allows it to keep this critical sea-lane open to naval vessels and commercial traffic.
Oman also faces its own security challenges, which include combating piracy, weapons smuggling, narcotics trafficking, and monitoring and controlling Oman’s borders. The Omani security establishment has had to deploy assets to address increased insecurity along Oman’s land and sea border with Yemen, due to instability in Yemen and Al Qaeda in the Arabian Peninsula activities. This has created critical gaps in other areas.
U.S. Assistance to Oman
U.S. assistance helps fund anti-piracy efforts and strengthens Oman’s capability to monitor and control its borders, and improves interoperability of the Omani military with U.S. forces.
Bilateral Economic Relations
The United States and Oman have a free trade agreement. U.S. exports to Oman include machinery, vehicles, aircraft, agricultural products, and optic and medical instruments. U.S. imports from Oman include crude oil, jewelry, plastics, fertilizers, and iron and steel products.
U.S. firms face a small and highly competitive market dominated by trade with Japan and the United Kingdom and re-exports from the United Arab Emirates. The sale of U.S. products also is hampered by higher transportation costs and the lack of familiarity with Oman on the part of U.S. exporters. However, the traditional U.S. market in Oman, oil field supplies and services, should grow as fields and wells expand.
Oman's Membership in International Organizations
Oman and the United States belong to a number of the same international organizations, including the United Nations, International Monetary Fund, World Bank, and World Trade Organization. Oman is also a member of the Organization of Islamic Cooperation, the Gulf Cooperation Council, and the Arab League.
