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Thompson Hine LLP, a full-service business law firm with approximately 400 lawyers in 11 offices, was ranked number 1 in the category “Most innovative North American law firms: New working models” by The Financial Times and was 1 of 7 firms shortlisted for The American Lawyer’s inaugural Legal Services Innovation Award. The firm has been recognized by the National Law Journal as a Legal Technology Trailblazer and featured by Bloomberg for its innovative service delivery models, which drive accuracy and predictability. The firm’s commitment to innovation is embodied in Thompson Hine SmartPaTHTM – a smarter way to work – predictable, efficient and aligned with client goals. For more information, please visit ThompsonHine.com and ThompsonHine.com/SmartPaTH.

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On January 30, 2026, the Office of the U.S. Trade Representative (USTR) announced that the United States and Guatemala have signed the <a href="https://ustr.gov/sites/default/files/files/Press/Releases/2026/Guatemala%20ART%201.30%20for%20posting%20CLEAN.pdf" target="_blank" rel="noreferrer noopener">United States&ndash;Guatemala Agreement on Reciprocal Trade</a> (Agreement).&nbsp;According to Ambassador Jamieson Greer, the USTR:&nbsp;&ldquo;Today&rsquo;s signing of another Agreement on Reciprocal Trade in the Western Hemisphere addresses trade barriers facing American workers and producers, expands and solidifies markets for U.S. exports, and strengthens strategic economic ties in the Western Hemisphere. I want to recognize Guatemala for its strong commitment to reciprocal trade with the United States. This Agreement builds on our long-standing trade relationship and shared interest in reinforcing regional supply chains.&rdquo;&nbsp;The United States and Guatemala had previously entered a framework agreement to negotiate details on this final reciprocal agreement.&nbsp;For additional information, see Thompson Hine Update of <a href="https://www.thompsonhinesmartrade.com/2025/11/united-states-and-guatemala-reach-framework-agreement-on-reciprocal-trade/">November 18, 2025</a>.
The Agreement will fully enter into force 30 days after the date on which both countries provide notification of the completion of their respective applicable legal procedures, or on such other date as the parties may decide. The formal Agreement follows closely the scope of the framework agreement:
<ul class="wp-block-list">
<li>The United States will remove reciprocal tariffs on certain originating goods from Guatemala that cannot be grown, mined, or naturally produced in the United States in sufficient quantities, and on certain products, such as textiles and apparel products, originating under the Dominican Republic-Central America Free Trade Agreement.&nbsp;These items are set forth by their Harmonized Tariff Schedule of the United States subheadings under Annex I of the Agreement in several schedules covering agricultural and industrial items.</li>
<li>Guatemala will allow U.S. goods that comply with applicable U.S. or international standards, U.S. technical regulations, or U.S. or international conformity assessment procedures to enter its territory without additional conformity assessment requirements. In addition, Guatemala will ensure that technical regulations, standards, and conformity assessment procedures are applied in a non-discriminatory manner and do not operate as disguised restrictions on bilateral trade, and shall remove existing technical barriers to trade in areas that undermine reciprocity, including requirements for duplicative or unnecessary testing or conformity assessment.</li>
<li>Guatemala will provide non-discriminatory or preferential market access for U.S. agricultural goods as detailed in the Agreement. This includes not restricting U.S. market access &ldquo;due to the mere use of the individual cheese and meat terms&rdquo; listed in Annex II of the Agreement.</li>
<li>Annex III of the Agreement sets forth specific commitments that Guatemala has made to address non-tariff barriers and related matters.&nbsp;These commitments address medical devices, pharmaceuticals, motor vehicles and parts, and several other items.&nbsp;These commitments also address certain documentation requirements, formalities and taxes.</li>
<li>Guatemala has agreed to implement a robust standard for intellectual property protection and enforcement, including fully implementing certain international intellectual property treaties.</li>
<li>Guatemala agreed to protect internationally recognized labor rights. In doing so, Guatemala will prohibit the importation of goods produced by forced or compulsory labor and strengthen its labor laws and their enforcement.</li>
<li>Guatemala has agreed to adopt, maintain and enforce high levels of environmental protection laws, including a commitment to take measures to improve forest sector governance and combat illegal logging, strengthen enforcement of its fisheries-related measures, and combat illegal wildlife trade and illegal mining.</li>
<li>Guatemala has agreed not to impose digital services taxes, or similar taxes, that discriminate against U.S. companies.</li>
</ul>
Under the Agreement, the United States and Guatemala intend to &ldquo;strategically align their trade and investment policies to further their shared economic and national security objectives.&rdquo;&nbsp;Accordingly, the Agreement states:&nbsp;&ldquo;When the United States imposes a customs duty, quota, prohibition, fee, charge or other import restriction on a good or service of a third country pursuant to relevant domestic law and considers that the measure is relevant to protecting its economic or national security against non-market policies and practices of a third country, Guatemala shall regulate, consistent with Guatemala&rsquo;s laws and regulations, the importation of that good or service into its territory through measures with equivalent effect as those of the United States.&rdquo; The countries will discuss such measures in the recently formed Bilateral Working Group.

United States and Guatemala Sign Agreement on Reciprocal Trade

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