US-Ecuador trade agreement removes 15% tariff

The International Fresh Produce Association (IFPA) welcomes the signing of the U.S.-Ecuador Agreement on Reciprocal Trade. "This carries meaningful implications for our floral members who import flowers from Ecuador into the U.S. market."

Under the agreement, the United States will apply most-favored-nation (MFN) tariff treatment to Ecuadorian cut flowers, cuttings, and other agricultural goods like bananas, pineapples and mangos. "For our members, this translates to the removal of the additional 15% tariff that has been in place, bringing effective duty rates back to the base MFN rate which varies by product. Under this agreement, Ecuador will also remove or reduce barriers on over 90% of the U.S. agriculture products exported into the country, which includes U.S. grown produce."

While full duty-free access was not achieved, as the Generalized System of Preferences (GSP) has not been renewed, this agreement meaningfully reduces the cost burden on floral importers and helps restore more predictable trade flows.

"We are encouraged by this agreement and what it means for the movement of floral products from Ecuador into the U.S. market," said Colleen Fagundus, IFPA's director of floral. "Reducing these tariff barriers is an important step toward ensuring our members can operate with greater certainty and competitiveness. We will continue to advocate for further progress, including GSP renewal and additional reciprocal trade agreements in the region, that would benefit floral importers across the supply chain."