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Uruguay - US Relations

The United States established diplomatic relations with Uruguay in 1867. Uruguay declared independence in 1825 and then secured independence in 1828 following a three-year conflict with Brazil and the dissolution of its federation with Argentina. The relationship between the United States and Uruguay is strong. The two countries share important values, including a commitment to democracy, rule of law, sound economic policies, strong labor rights, environmental protection, investment in people, the desire to see the peaceful resolution of disputes between nations, and a commitment to the multilateral system.

The United States recognized the independent state of the Oriental Republic of Uruguay on January 25, 1836, by the issuance of an exequatur to John Darby, as Consul General at New York. Diplomatic relations were established on October 2, 1867, when American Minister Resident Alexander Asboth presented his credentials to the Government of the Oriental Republic of Uruguay. Asboth was also accredited to Argentina and resident at Buenos Aires.

The American Legation in Montevideo opened on July 6, 1870, under Minister Resident John L. Stevens. The Secretary of State announced on January 11, 1941, that the President had given his approval to raise the status of the American Legation in Uruguay to that of an Embassy. William Dawson was the first US Ambassador Extraordinary and Plenipotentiary to Uruguay and was appointed on February 11, 1941. He presented his credentials to the Government of the Oriental Republic of Uruguay on July 12, 1941.

Uruguay is a constructive partner that plays an important role in promoting regional stability and democracy. The country often serves as a consensus builder and mediator in international institutions. It is a partner in conflict resolution, contributing to peacekeeping missions worldwide. Uruguay has been one of the top per capita contributors to United Nations peacekeeping overall. The United States values Uruguay’s contributions to improving security in Haiti and the Democratic Republic of the Congo, as well as in other difficult locations throughout the world.

US assistance to Uruguay encourages constructive Uruguayan engagement in international affairs and improves Uruguay’s ability to combat terrorism, international crime, and the trafficking of persons, materials, and drugs. It also strengthens and maintains the Uruguayan military’s peacekeeping and disaster response capabilities.

In 2002 Uruguay and the United States created a Joint Commission on Trade and Investment, which was superseded by a Trade and Investment Framework Agreement in 2007. Under both instruments, Uruguay and the United States have signed several agreements, including an Open Skies agreement, a Bilateral Investment Treaty, a Science and Technology agreement, a Customs Mutual Assistance agreement, and a Memorandum of Understanding on Renewable Energy and Energy Efficiency and Small and Medium Enterprises. In May 2015, experts from the US and Uruguay completed a second round of discussions toward concluding a bilateral Social Security Totalization Agreement.

US exports to Uruguay include refined oil, telephony equipment, electrical motors and turbines, agricultural machinery, and computers. US imports from Uruguay include beef, hides and skins, prepared meat, wood panels, and honey. About 120 US-owned companies operate in Uruguay, and many more market US goods and services.

Uruguay and the United States belong to a number of the same international organizations, including the United Nations, Organization of American States, International Monetary Fund, World Bank, and the World Trade Organization. Uruguay is a founding member of Mercosur and the Latin American Integration Association, ALADI.

From 1999 through early 2003 Uruguayan citizens were exempted from visas when entering the United States under the Visa Waiver Program. This exemption was withdrawn on April 16, 2003, based on the high overstay rates for Uruguayans and worldwide national security concerns.

Uruguay does not receive substantial amounts of U.S. foreign assistance due to its relatively high level of development, but the country does receive military assistance designed to provide equipment and training to improve Uruguay’s interoperability with U.S. and international peacekeeping forces. According to the Congressional Research Service, the United States provided Uruguay with $590,000 in International Military Education and Training (IMET) in FY 2010 and will provide an estimated $465,000 in IMET in FY 2012.

A U.S. Treasury Office of Technical Assistance (OTA) program that started in 2009 provides assistance to several Government of Uruguay offices in banking supervision, debt management, and microfinance. In October 2010, OTA’s Deputy Assistant Secretary for Technical Assistance Policy and Uruguay’s Deputy Presidential Chief of Staff signed a bilateral agreement to combat economic crimes.

U.S.-Uruguayan relations traditionally have been based on a common outlook and emphasis on democratic ideals. In 2002, Uruguay and the United States created a Joint Commission on Trade and Investment (JCTI) to exchange ideas on a variety of economic topics. In March 2003, the JCTI identified six areas of concentration: customs issues, intellectual property protection, investment, labor, environment, and trade in goods. In late 2004, Uruguay and the U.S. signed an Open Skies Agreement, which was ratified in May 2006. In November 2005, the two countries signed a Bilateral Investment Treaty (BIT), which entered into force on November 1, 2006. A Trade and Investment Framework Agreement (TIFA) was signed in January 2007. About 100 U.S.-owned companies operate in Uruguay, and many more market U.S. goods and services. In April 2008, Secretary of State Condoleezza Rice met with Foreign Minister Gonzalo Fernandez to sign a science and technology agreement. A memorandum of understanding on renewable energy and energy efficiency was signed in October 2008. Uruguay cooperates with the United States on law enforcement matters such as regional efforts to fight drug trafficking and terrorism. It has also been very active in human rights issues.