The Trump administration said Thursday that it had reached trade frameworks with Argentina, Ecuador, El Salvador, and Guatemala. According to a report by Yahoo Finance, these frameworks are related to increasing the ability of American companies to sell industrial and agricultural products in these countries. A senior administration official provided this information on the condition of anonymity during a briefing call with reporters.
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The White House has released statements about the frameworks, which have not yet been finalized and are expected to be signed in about two weeks. The frameworks touch on a range of topics, including efforts to reduce non-tariff barriers and reduce tariffs to 0% on US-made goods, as well as commitments not to impose taxes on digital services on US companies. There will also be a duty exemption on selected products from these countries.
Import licenses in these countries will be eliminated and simplified, while countries will agree to resolve issues related to intellectual property rights. Under the tariffs previously announced by President Donald Trump at the end of July, a 10% tax is imposed on goods imported from Argentina, El Salvador and Guatemala, as the United States runs a trade surplus with each of these countries. Products coming from Ecuador, with which America has a trade deficit, are subject to a 15% tax.
Guatemala’s President Bernardo Arevalo described the framework as “good news” and said his country would be in a position to attract new investment. He said 70% of the products Guatemala exports to the United States would not face any tariffs under this framework, as exceptions are granted for goods that the United States cannot manufacture. All other goods will remain subject to the 10% tariff.
A senior US administration official said that customs duties in these countries could be reduced on coffee, cocoa, and bananas. Both Treasury Secretary Scott Bescent and President Trump have proposed easing tariffs because affordability issues are a major concern for American voters.
Source: Market intelligence platform IndexBox
