November 14, 2025

Trade Advisory: U.S. Framework Agreements with Argentina, Ecuador, El Salvador, and Guatemala

Background

The United States has taken a significant step toward strengthening economic ties in the Western Hemisphere by announcing Framework Agreements on Reciprocal Trade with Argentina, Ecuador, El Salvador, and Guatemala. These agreements are part of a broader U.S. strategy to enhance regional supply chain resilience, reduce dependency on adversarial markets, and promote sustainable trade practices.

The frameworks are designed to lay the groundwork for future free trade agreements while delivering immediate benefits through tariff reductions, regulatory alignment, and commitments to digital trade and labor standards. This initiative reflects the U.S. government’s focus on friend-shoring—prioritizing trade with trusted partners to secure critical supply chains and foster economic growth.

Key Objectives of the Framework Agreements

Expand Market Access: Lower tariffs and remove non-tariff barriers for U.S. goods and services.
Promote Digital Trade: Permanent moratorium on customs duties for electronic transmissions and prohibition of digital services taxes.
Strengthen Labor & Environmental Standards: Ban imports produced by forced labor and encourage sustainable practices.
Enhance Regulatory Cooperation: Streamline certification processes and adopt international standards for automotive, medical, and industrial goods.

Country-Specific Highlights

Argentina

Preferential access for U.S. pharmaceuticals, chemicals, machinery, IT products, and agricultural goods.
Argentina to allow U.S. poultry within one year and simplify beef/pork export procedures.
Commitments to enforce IP rights and refrain from digital services taxes.
U.S. concessions: Tariff removal on certain natural resources and pharmaceutical inputs.

Ecuador

Tariff reductions on tree nuts, fresh fruit, pulses, wheat, wine, distilled spirits, machinery, and health products.
Streamlined licensing for food/agricultural products, acceptance of U.S. auto and medical standards.
U.S. concessions: Tariff relief on coffee and bananas.

El Salvador

Acceptance of U.S. auto standards and electronic certificates.
No restrictions on U.S. meats and cheeses; expedited product registration.
Digital trade protections and IP treaty advancements.
U.S. concessions: Tariff removal on select Salvadoran exports and extended CAFTADR textile preferences.

Guatemala

Commitment to refrain from digital services taxes and support WTO moratorium on customs duties for electronic transmissions.
Expanded opportunities for U.S. agricultural and industrial goods.
U.S. concessions: Tariff relief on select Guatemalan exports and exemptions for certain textiles and apparel.

General Provisions

Tariff Structure: Most goods from Argentina, El Salvador, and Guatemala remain at 10%, while Ecuador remains at 15%, with targeted tariff relief for specific products.
Implementation Timeline: Full agreements expected within two weeks, with additional details forthcoming.

Implications for U.S. Businesses

Exporters: Greater access to Latin American markets for agricultural, industrial, and digital services.
Importers: Cost reductions on coffee, bananas, and other goods not produced domestically.
Compliance: Prepare for updated certification and regulatory requirements in partner countries.

Recommendations for Trade Stakeholders

Navigating these new Framework Agreements can unlock significant opportunities—but also requires careful planning to ensure compliance and maximize benefits. Crane Trade Advisory Services team is ready to help you:

Assess Impact on Your Business: Identify tariff reductions and regulatory changes that affect your supply chain.
Ensure Compliance: Stay ahead of evolving certification, documentation, and customs requirements.
Develop a Strategic Roadmap: Align your trade operations with the latest U.S. and partner-country commitments.