U.S. Announces Frameworks for Reciprocal Trade Agreements with El Salvador, Argentina, Ecuador, and Guatemala

The United States has taken a major step toward strengthening trade relationships across the Western Hemisphere.

This week, President Trump announced Joint Statements with El Salvador, Argentina, Ecuador, and Guatemala, outlining new Frameworks for Agreements on Reciprocal Trade.

The announcement marks a significant shift toward expanded market access, reduced trade barriers, and enhanced cooperation on economic and national security issues.

Following the announcement, Ambassador Jamieson Greer issued a statement highlighting the significance of the initiative:

“President Trump’s leadership is forging a new era of partnership and prosperity across the Western Hemisphere, further advancing the economic and national security interests of the American people. Today’s announcements lay the groundwork for Agreements on Reciprocal Trade to unlock new markets for U.S. exports and lower trade barriers facing American workers and producers. I thank my counterparts from El Salvador, Argentina, Ecuador, and Guatemala for their commitment to achieving fair and balanced trade with the United States.”

While the agreements with El Salvador and Argentina will continue to be detailed in future releases, new fact sheets provide extensive information on the frameworks reached with Ecuador and Guatemala.

U.S.–Ecuador Framework for Reciprocal Trade

The Framework with Ecuador focuses on reducing tariffs, removing non-tariff barriers, and creating new opportunities for U.S. exporters. In 2024, U.S. goods and services exports to Ecuador totaled $10.2 billion, and the new framework is expected to significantly expand that figure.

Key Provisions:

Reducing Tariff Barriers: Ecuador will eliminate or reduce tariffs on key U.S. products including tree nuts, fresh fruits, pulses, wheat, wine, distilled spirits, and agricultural goods previously affected by the Andean Price Band System.

Removing Non-Tariff Barriers: Ecuador will increase transparency in import licensing, simplify facility registrations, and ensure that commonly used cheese and meat terms (such as mozzarella, parmesan, provolone, salami, prosciutto, and more) are not restricted.

Industrial Market Access: Ecuador will streamline approvals for U.S. industrial exports such as remanufactured goods, automotive parts, medical devices, and pharmaceuticals.

Trade Facilitation: Key commitments include ending pre-shipment inspections, improving the Single Window system, and expanding the Authorized Economic Operator (AEO) program.

Digital Trade & IP Protections: Ecuador will refrain from discriminatory digital service taxes and strengthen intellectual property enforcement, border protection, and transparency around geographical indications.

Labor & Environmental Commitments: Ecuador will strengthen labor law enforcement, prohibit imports produced with forced labor, improve forest governance, combat illegal logging and wildlife trafficking, and enforce fisheries commitments.

The U.S. will also grant MFN tariff treatment to specific Ecuadorian goods not produced domestically.

U.S.–Guatemala Framework for Reciprocal Trade

The Framework with Guatemala builds on long-standing economic ties and aims to simplify market access, reduce regulatory barriers, and support supply chain resilience. In 2024, two-way trade totaled $18.7 billion, with the U.S. holding a $4.7 billion goods trade surplus.

Key Provisions:

Removing Non-Tariff Barriers for Industrial Exports: Guatemala will streamline approvals for vehicles, automotive parts, medical devices, pharmaceuticals, remanufactured goods, electronic certificates, and certificates of free sale.

Supporting U.S. Agriculture: Guatemala will maintain science-based regulatory frameworks and preserve access for U.S. cheeses and meats (parmesan, mozzarella, feta, salami, prosciutto, etc.).

Improved Regulatory Practices: Guatemala will adopt good regulatory practices including publishing proposed regulatory measures, conducting public consultations, and publishing policy priorities.

IP Protections: Guatemala will enhance enforcement, increase criminal prosecutions for IP violations, join key international treaties, and ensure fair treatment of geographical indications.

Digital Trade & Labor Commitments: Guatemala will refrain from discriminatory digital taxes, support digital trade, and protect internationally recognized labor rights.

Environmental Commitments: The country will strengthen enforcement of environmental laws, tackle illegal logging and wildlife trafficking, and implement fisheries-related obligations.

Economic Security Cooperation: Both nations will align efforts to enhance supply chain resilience, combat duty evasion, and strengthen investment security.

Market Access Benefits: The United States will remove reciprocal tariffs on certain Guatemalan goods and extend CAFTA-DR preferences to qualifying textiles and apparel — supporting supply chains and boosting economic growth.

A Shift Toward Reciprocal, Fair Trade

Since April, the President Trump Administration has emphasized reducing the U.S. trade deficit by addressing tariff disparities and non-market practices. These new frameworks aim to:

• Expand U.S. agricultural and industrial exports

• Lower barriers for American producers

• Strengthen labor and environmental protections

• Enhance cooperation on national and economic security

• Build stable and predictable market access across the region

AFIA will continue monitoring developments closely as these frameworks advance toward finalized agreements.