Overview
- The draft deals keep 10% tariffs on most goods from Argentina, El Salvador and Guatemala and 15% on imports from Ecuador, with carve-outs for items the U.S. does not produce in sufficient quantities.
- Officials said relief could lower prices for imports such as coffee, bananas and cocoa, and they expect retailers to pass savings on to consumers.
- The frameworks aim to open those markets to more U.S. agricultural and industrial exports by reducing nontariff barriers, cutting some tariffs to zero and prohibiting digital services taxes on U.S. companies.
- Joint statements outline plans to streamline or eliminate import licenses and address intellectual property issues, with specific product lists and timelines to be finalized in the signed agreements.
- Leaders in the four countries welcomed the announcements, with Guatemala’s president saying about 70% of his country’s exports to the U.S. would face zero tariffs under the proposed terms.