Trading Partner Portal: Ecuador
Overview
Trade Overview
Ecuador is located in northwestern South America and, per it’s namesake, is dissected by the equator. Ecuador is one of 17 ‘megadiverse’ countries in the world, as it is home to many endemic plants and animals, including those of the Galapagos Islands. Ecuador’s economy is highly dependent on commodities, including petroleum and agricultural products; most notably bananas and cut flowers. The population of Ecuador in 2023 was 18.3 million and GDP totaled at $119 billion in the same year; GDP per capita came in at $6,500.
U.S. – Ecuador Trade
The U.S. exported almost $8 billion to Ecuador in 2023, with Ecuador ranking 40th in export markets. Petroleum and coal products made up $3.8 billion of the total. This was followed by oil and gas ($668 million), processed foods ($627 million), chemicals ($573 million), and computer and electronic products ($557 million).
With a ranking of 39th in U.S import markets, the U.S. imported $8.6 billion worth of products in 2023. Over $3.8 billion of which was made up of oil and gas. This was followed by agriculture products ($1.3 billion), livestock ($1.3 billion), processed foods ($593 million), and primary metal manufactures ($385 million).
California – Ecuador Trade
In 2023, California exported $503 million to Ecuador. Petroleum and coal made up $287 million of the total. This was followed by computer and electronic products ($51 million), waste and scrap ($31 million), chemicals ($19 million), and fabricated metal products ($17 million).
Imports from Ecuador into California totaled $4.6 billion in 2023 with the top import being oil and gas at $3.8 billion. Other top imports included livestock & livestock products ($408 million), agricultural products ($292 million), processed foods ($59 million), and petroleum and coal products ($44 million).
FDI- Ecuador
Ecuadorian FDI into the U.S. totaled $13 million in 2023, and U.S. FDI into Ecuador totaled $906 million the same year.
Trade Agreements
Trade Agreements
Ecuador is the only country in Latin America along the Pacific that does not currently have a free trade agreement with the U.S. The “mini” trade deal brings the two countries a step closer to achieving an FTA.
>According to Politico, the new pact contains three chapters on trade facilitation, good regulatory practices and anti-corruption. It’s similar to the “mini deal” the U.S. concluded recently with Brazil. It also includes a fourth chapter on small and medium sized enterprises, which make up the bulk of Ecuador’s business community. Separately, the United States recently added roses to the list of imported goods eligible for duty-free treatment under its Generalized System of Preferences program. That has provided a major boost for one of Ecuador’s top export industries.
USTR Agrees to Explore New Trade Talks with Ecuador
Politico, November 1, 2022
United States and Ecuador update Trade and Investment Council Agreement with New Protocol on Trade Rules and Transparency
U.S. Trade Representative, December 8, 2020
FACT SHEET: U.S. – Ecuador 2020 Protocol on Trade Rules and Transparency
U.S. Chamber Welcomes Signing of Trade Protocol between the U.S. and Ecuador
U.S. Chamber, December 8, 2020
Events