Joint Statement on Framework for United States–Guatemala Agreement on Reciprocal Trade

The United States and Guatemala announce a Framework for an Agreement on Reciprocal Trade that strengthens and builds upon their long-standing economic relationship, including CAFTA–DR (Dominican Republic–Central America–United States Free Trade Agreement), which entered into force in 2006.

1. Non-Tariff Barriers

• Streamline regulatory requirements and approvals for U.S. exports, including pharmaceuticals and medical devices.
• Remove import restrictions on remanufactured goods.
• Accept U.S. auto standards.
• Streamline certificate of free sale requirements, accept electronic certificates, remove apostille requirements, and expedite product registration for U.S. exports.

2. Agricultural Products

• Address and prevent barriers to U.S. agricultural products.
• Accept U.S. regulatory oversight and certificates issued by U.S. authorities.
• Maintain science- and risk-based regulatory frameworks and efficient authorization processes for agricultural products.

3. Intellectual Property (IP)

• Commit to robust IP protection and enforcement.
• Fully implement certain international IP treaties.
• Resolve many long-standing IP issues identified in USTR's Special 301 Report.

4. Geographical Indications

• Provide transparency and fairness regarding geographical indications.
• Ensure market access is not restricted due to the mere use of certain cheese and meat terms.

5. Digital Trade

• Refrain from imposing digital services taxes or measures that discriminate against U.S. digital services or products.
• Ensure free transfer of data across trusted borders.
• Support a permanent multilateral moratorium on customs duties on electronic transmissions at the WTO.

6. Services Domestic Regulation

• Take effective actions to implement the Joint Initiative on Services Domestic Regulation.

7. Trade Facilitation and Regulatory Practices

• Continue facilitating trade by following best practices in customs.
• Adopt and implement good regulatory practices.

8. Labor

• Protect internationally recognized labor rights.
• Prohibit importation of goods produced by forced or compulsory labor.
• Strengthen labor laws and their enforcement.

9. Environment

• Adopt and maintain high levels of environmental protection and effectively enforce environmental laws.
• Improve forest sector governance and combat illegal logging.
• Strengthen enforcement of fisheries-related measures.
• Combat illegal wildlife trade and illegal mining.
• Fully implement the WTO Agreement on Fisheries Subsidies.

10. State-Owned Enterprises (SOEs) and Subsidies

• Address potential distortionary actions of SOEs.
• Address industrial subsidies that may impact the bilateral trading relationship.

11. Economic and National Security Cooperation

• Strengthen cooperation to enhance supply chain resilience and innovation.
• Address non-market policies of other countries.
• Cooperate on duty evasion, investment security, and export controls.

12. Government Procurement

• Restrict access to central-level procurement covered by free trade agreement commitments for suppliers from non–FTA partners, in a manner comparable to U.S. procurement restrictions (with necessary exemptions).

• In the coming weeks, both countries will:

  • Finalize the Agreement.
  • Prepare for signature.
  • Undertake domestic formalities before the Agreement enters into force.

• Given Guatemala's commitment to advance a stronger and more reciprocal trade relationship, the U.S. will remove reciprocal tariffs on Guatemala's exports for:

  • Certain qualifying exports that cannot be grown, mined, or naturally produced in the U.S. in sufficient quantities.
  • Certain products, such as textiles and apparel, originating under CAFTA–DR.

• Both countries look forward to closing the Agreement soon.