US pushes new tariff agreements with four key Latin American partners
The United States has revealed a set of framework trade agreements with four Latin American countries: Argentina, Ecuador, Guatemala and El Salvador, aimed at reducing tariffs on selected imports and strengthening economic ties across the region.
These deals form part of the current US administration’s push to secure its supply chains and ease inflationary pressure at home.
Under the deal with Argentina, the US plans to lift tariffs on certain pharmaceutical ingredients and other goods, while Buenos Aires agrees to open its market further to US exports of vehicles, medical devices and other items. For Ecuador, Guatemala and El Salvador, the focus is more on removing non-tariff barriers, such as digital services taxes, intellectual property rules and food-safety standards, rather than sweeping tariff cuts.
Although these frameworks promise “tariff relief for certain exports” rather than a full elimination of duties, they reflect Washington’s strategy to deepen economic ties with Latin America amidst global competition for influence. The agreements also tie into a broader agenda of “friend-shoring” and reinforcing alliances as the US looks to diversify away from reliance on specific global trading partners.
However, the move has drawn scrutiny from domestic and international observers, who are watching how the benefits will trickle down—both in the US, where consumers hope for lower prices, and in Latin American states, where the deals raise questions about the balance between sovereignty, trade liberalisation and mutual gains.
This story is written and edited by the Global South World team, you can contact us here.
