The top five U.S. imports from Chile are natural resource-based products that reflect a refining of the basic resource, but a production activity that does not create much value. They account for almost 70% of total imports from Chile and include: copper (19%), mainly refined alloys; edible fruits and nuts (18%), most of which are grapes; fish (15%), mainly salmon; wood (13%), different types of wood; and beverages (4%), virtually all wines. Recently, imports of grapes and fish have increased, with demand for copper, timber and wine products falling steadily or slightly compared to other products. Bilateral negotiations have been a challenge for both countries, and while a comprehensive agreement has been reached, some issues have been controversial, as was said during the House and Senate hearings. With several free trade agreements now being considered, concern has been expressed about the potential for Chilean provisions to become a «model» for those of other free trade agreements. In particular, immigration, investment (capital controls) and labor rules have become hot topics and many members of Congress have effectively sent the message that the language of the US-Chile free trade agreement would not be acceptable in future trade agreements. A summary of these issues can be found on the back of this report. Since the free trade agreement has been signed, this is the final version of the report.
The negotiations were complicated by Chile`s opposition to an imminent US invasion of Iraq. U.S. Trade Representative Robert Zoellick said President Bush and the U.S. Congress were «disappointed» by Chile`s lack of support in the Iraq war and said there was no set timeline for signing the pact. On April 23, 2003, U.S. Secretary of State Colin Powell said the free trade agreement would be signed and approved, but they were looking for the appropriate time to submit it to Congress. On May 7, 2003, President Bush declared that «the important free trade agreement with Chile would take place.»  # Limited trade agreement negotiated in accordance with the guidelines of the Latin American Integration Association (LAIA), known in Spanish as Asociación Latinoamericana de Integración (ALADI). Chile has also concluded bilateral «supplementary economic agreements» with Bolivia, Peru, Venezuela, Argentina, Ecuador, Colombia and Mercosur as well as a partial agreement with Cuba. .