El Salvador and the United States formalized a Reciprocal Trade Agreement that eliminates the 10% tariff on Salvadoran exports to the U.S. market, a milestone that makes the country the first to ratify this type of agreement. Source: Diario El Salvador.
What does ratifying the tariff agreement mean, and why does it matter?
The most significant point is the elimination of the 10% tariff on Salvadoran products exported to the United States, a benefit announced in November 2025 that is now official through the ratification.
The agreement was signed by U.S. Trade Representative Jamieson Greer and El Salvador's Minister of Economy, María Luisa Hayem, highlighting stronger trade cooperation and supply chains.
El Salvador gains an edge in the region
With this ratification, El Salvador gains a stronger competitive position against Central American countries that still face tariffs. Regional comparison (as reported)
Honduras, Panama and Guatemala: remain at 10% (Guatemala with exceptions for some products)
Costa Rica: 15%
Nicaragua: 18%
Reactions from the business sector
ASI (the Salvadoran Industrial Association) described the agreement as a strategic opportunity to:
Boost exports
Strengthen the business climate
Attract investment.
AmCham also highlighted the agreement's potential to accelerate economic growth and the trade relationship with the United States.
Does your company export, or want to export, to the United States?
The agreement opens new opportunities, but it also demands better preparation on legal, tax, contractual and operational matters.
At CENTR4L we help you prepare your company to grow in international markets, bringing together the legal and financial advice you need.
Get your company ready to seize new opportunities. Let's talk.
