U.S. Announces Framework Trade Agreements with Ecuador, El Salvador, Guatemala

November 17, 2025

Last Thursday, the Trump Administration published joint statements memorializing “Frameworks for Agreement” on trade with four Latin American countries: Argentina, Ecuador, El Salvador, and Guatemala.  The Frameworks with Ecuador, El Salvador, and Guatemala overlap considerably. With respect to tariffs, the United States will remove reciprocal tariffs on certain resources that cannot be grown, mined, or naturally produced in the United States in sufficient quantities. Although similarly formulated in all three Frameworks, it remains to be seen whether the precise scope of these exemptions will vary from country to country. While the commitments offered by Ecuador, El Salvador, and Guatemala are largely similar, the agreements vary in certain respects.

Tariff Measures

The applicable rate under the International Emergency Economic Powers Act (“IEEPA”) “Reciprocal” tariff regime varies for products of Ecuador (15%), El Salvador (10%), and Guatemala (10%).  Although none of the November 13 Frameworks provide for a reduction in the baseline reciprocal tariff rate for any country, they offer several other tariff concessions.

For all three countries, the Frameworks provide that IEEPA Reciprocal tariffs will be removed for certain exports that “cannot be grown, mined, or naturally produced in the United States in sufficient quantities.” While specific products have not yet been identified, the characterization is identical to the list of “Potential Tariff Adjustments for Aligned Partners” annexed to Executive Order 14346. However, as can be seen in the agreements with Malaysia and Cambodia, the specific products from that Annex for which tariffs are removed can vary.

For El Salvador and Guatemala, the Frameworks provide that IEEPA reciprocal tariffs will be removed for “certain products, such as textiles and apparel products, originating under the CAFTA-DR.”

In addition, the U.S.-El Salvador Framework expressly mentions that the U.S. “may positively consider the effect that the Agreement has on national security” when imposing tariffs pursuant to Section 232 of the Trade Expansion Act of 1962 (“Section 232”). While this is far from concrete, it appears meaningful insofar as the Frameworks with Ecuador and Guatemala contain no similar clause.

Tariff commitments made by Ecuador, El Salvador, and Guatemala vary. Ecuador commits “to reduce or eliminate tariffs in key sectors for the United States,” including health products, chemicals, motor vehicles, machinery, information technology products, and “certain agricultural products.” These product categories are generally the same as those for which Argentina has committed to provide “preferential market access.” For other agricultural products, Ecuador intends to establish tariff-rate quotas. The Frameworks for El Salvador and Guatemala, by contrast, do not mention tariff adjustments by either country.

Trade Facilitation Measures

The Frameworks provide for various non-tariff measures to facilitate trade. For Ecuador, this includes general measures such as ending pre-shipment inspection mandates. For El Salvador and Guatemala, this encompasses “good regulatory practices,” streamlined regulatory requirements and approvals for U.S. exports, accepting U.S. automotive standards, and expediting product registration requirements, among others. Separate provisions in all three Frameworks single out the facilitation of trade in U.S. agricultural products, including commitments to accept certain certificates issued by U.S. regulatory authorities by El Salvador and Guatemala, and a commitment by Ecuador to enhance transparency and predictability in import licensing and facility registration systems.

Non-Tariff Measures in Common with Other Agreements

All three countries commit to a variety of non-tariff reforms that appear analogous to provisions of recent agreements with partners such as the European Union, Malaysia, and Cambodia. These include commitments in principle to:

For all three countries:

  • Cooperate to combat third-country non-market policies and practices.
  • Enhance alignment with respect to export controls, investment security, and addressing duty evasion.
  • Adopt and implement a prohibition on the importation of goods produced by forced labor.
  • Strengthen enforcement of labor laws and protect internationally recognized labor rights.
  • Combat illegal logging and wildlife trade and improve forest sector governance.
  • Accept and implement the WTO Agreement on Fisheries Subsidies.
  • Ensure transparency and fairness regarding geographical indications.
  • Implement certain intellectual property treaties, possibly the same list appearing in the agreements with Malaysia and Cambodia.
  • Facilitate digital trade in various ways, including (for Ecuador and El Salvador) supporting the adoption of a permanent moratorium on customs duties on electronic transmissions at the WTO.

For two out of three countries:

  • For Ecuador and Guatemala, address structural challenges with respect to the protection of intellectual property as noted in USTR’s 2025 Special 301 report. The incorporation of USTR’s report as a cross-reference in these Frameworks (as well as the Framework with Argentina) underscores the extent to which these reports are informing negotiations, and the potential value of participating in that process for interested parties.
  • For El Salvador and Guatemala, combat illegal mining.
  • For El Salvador and Guatemala, address “potential distortionary actions of state-owned enterprises” and “industrial subsidies that may have an impact on the bilateral trading relationship.”
  • For El Salvador and Guatemala, cooperate on government procurement, although the U.S.-Guatemala Framework specifically mentions restricting access to central procurement for non-FTA partners.
Variations on a Theme: Non-Tariff Measures Particular to the Partner Country

Certain measures contemplated in these Frameworks reflect consideration of each country’s particular policies and circumstances. For instance, Ecuador’s trade facilitation measures include “establishing contingency plans for its Single Window and expanding its Authorized Economic Operator program to include delivery carriers. Ecuador otherwise commits to remove barriers on advertising services, something highlighted in the 2025 edition of the U.S. Trade Representative’s National Trade Estimate Report.  For its part, Guatemala singles out implementation of the WTO Joint Initiative on Services Domestic Regulation.

Tariff Strategy and Legal Insight

The attorneys, licensed customs brokers, compliance professionals, economists, and trade specialists of Cassidy Levy Kent regularly assist companies in effectively advocating for policy changes and in evaluating their supply chains to ensure compliant market access and adjust for tariff-related developments, both mitigating burdens and taking advantage of opportunities. Domestic companies rely on Cassidy Levy Kent to address unfair trade competition and noncompliance with U.S. law and agreements. Cassidy Levy Kent also leverages its thorough understanding of relevant legal regimes to advise governments on tariff policy and procedures.