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Ecuador imposes 27% tariff on imports from Mexico

2025-02-05T18:41:51+00:00
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Ecuador impone arancel del 27 % a importaciones de México, Ecuador imposes 27% tariff on imports from Mexico
Ecuador Imposes 27% Tariff on Imports from Mexico - Photo: ShutterStock
  • Ecuador Imposes 27% Tariff on Imports from Mexico
  • Noboa Makes Decision Amid Political Tensions
  • Here Are the Details

Ecuador’s President, Daniel Noboa, announced the imposition of a 27% tariff on products imported from Mexico in response to what he considers an unequal trade exchange.

The measure comes in a context of severed diplomatic relations between the two countries, following the controversial assault on the Mexican embassy in Quito to arrest former Vice President Jorge Glas.

Through a social media post, Noboa reiterated his interest in signing a free trade agreement with Mexico.

However, he justified the new tariff by stating that the non-oil trade balance is unfavorable for Ecuador.

Ecuador Imposes 27% Tariff on Imports from Mexico

According to official data, the Andean country imported goods worth $551 million from January to November 2024.

While its exports to Mexico only reached $333 million, generating a deficit of $218 million.

Noboa’s decision comes just days after U.S. President Donald Trump imposed 25% tariffs on Mexico and Canada.

This situation marks a new challenge for international trade relations in the region.

Obstacles in Trade Negotiations

Ecuador and Mexico were close to signing a free trade agreement in 2022, but negotiations stalled due to Mexico’s refusal to eliminate tariffs on key Ecuadorian products, such as shrimp and bananas. The lack of a trade agreement also prevented Ecuador’s entry into the Pacific Alliance, a block comprising Chile, Colombia, Mexico, and Peru.

«We reaffirm our stance on signing a free trade agreement with Mexico. However, until that happens and becomes a reality, we will apply a 27% tariff on the products we import, aiming to promote our industry and ensure fair treatment for our producers,» Noboa stated in his message.

Among the most imported products by Ecuador from Mexico are medicines ($66 million), light vehicles ($40 million), and appliances ($38 million).

Other goods include hygiene products, computers, and substances for alcoholic beverages.

A Context of Diplomatic Crisis Between Mexico and Ecuador

The announcement of the new tariff coincides with the start of election week in Ecuador, where Noboa is seeking re-election on February 9.

His main opponent is Luisa González, a representative of the Correísmo sector, which has strongly criticized Noboa’s foreign policy.

Diplomatic relations between Ecuador and Mexico broke down in April 2024, after the Ecuadorian government ordered a police raid on the Mexican embassy in Quito to capture Jorge Glas, who had received diplomatic asylum from the government of former President Andrés Manuel López Obrador.

As reported by EFE.

An Incident that Brings International Controversies

This incident sparked international controversy, with Mexico accusing Ecuador of violating the inviolability of diplomatic premises and Ecuador arguing that Mexico misused the right of asylum.

The conflict has escalated to the International Court of Justice in The Hague, where both nations have lodged mutual accusations of violations of international law.

In this tense context, Ecuador’s decision to impose tariffs on Mexico adds a new chapter to the bilateral crisis.

INTERESTING FOR YOU: Trump confirms that tariffs on Mexico are paused for a month

 

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