The USTR recently announced that the U.S. will impose tariffs on all imported Nicaraguan goods that are not originating under the Dominican Republic-Central America-United States Free Trade Agreement (CAFTA-DR). The tariff will initially be set at zero but is set to increase to 10% in 2027 and 15% in 2028. This announcement represents a much more measured approach than some of the potential actions USTR proposed in October, which included possible suspension of Nicaragua’s CAFTA-DR benefits and tariffs of up to 100%. U.S. Meat Export Federation (USMEF) Central America Representative Lucia Ruano said this is great news for the U.S. pork industry.
Ruano said the U.S. currently holds about 95% market share in Nicaragua’s pork imports as U.S. pork is becoming a center of the plate feature.
Duty-free access through CAFTA-DR has helped make Nicaragua a rapidly growing destination for U.S. pork, ranking 13th among all export markets this year.
For more information, visit usmef.org.
