Ecuador and Colombia Escalate Trade Dispute with Reciprocal Tariff Increases

Ecuador and Colombia are engaged in an escalating trade dispute marked by reciprocal tariff increases. Ecuador's President Daniel Noboa raised tariffs on Colombian imports from 30% to 50%, citing Colombia's insufficient border security against cocaine trafficking and a $1.1 billion trade deficit. Colombia plans to propose matching 50% tariffs on Ecuadorian goods and has halted crude shipments after Ecuador raised pipeline fees. Business groups in both countries warn the conflict may harm their economies.