Since midnight on Sunday, Colombia and Ecuador began to mutually apply 30% tariffs on certain imported products, in an escalation that marks one of the strongest economic tensions between both countries in recent years. The measure affects bilateral trade that exceeds 2.8 billion dollars annually, with an imbalance that favors Colombia: while the country sells around 1.8 billion dollars to Ecuador, it receives Ecuadorian imports for 900 million dollars.
The Ecuadorian decision was announced without prior notice by President Daniel Noboa on January 21 during his participation in the World Economic Forum in Davos, arguing that the trade balance is unfavorable and that Colombia has not taken sufficient measures to prevent the passage of drugs to Ecuador, a problem that has generated significant violence in the neighboring country.
In response, Gustavo Petro’s government adopted a mirror package of tariffs on 50 products from Ecuador, including basic foodstuffs such as rice, beans, bananas and sugar; as well as tires, footwear, aluminum tubes, cylinders and ethyl alcohols. The declared intention is to protect the Colombian economy and pressure for the resumption of negotiations between both governments, although it also has immediate impacts on prices and availability of imported products.
Immediate and sectoral repercussions
Before the tariffs came into effect, the Rumichaca border bridge, the main legal crossing between both countries, registered lines of trucks hundreds of meters long, with transporters trying to cross merchandise before the new taxes were applied. This pressure on logistics was already generating delays and additional costs for producers and merchants in Colombia and Ecuador.
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On the energy front, Colombia temporarily suspended the supply of electricity to Ecuador, which had been critical in emergency situations, such as the energy crisis of 2024. Although Ecuador currently has enough water in its reservoirs to cover internal demand, experts warn that the measure could become a problem if episodes of shortages in Ecuadorian hydroelectric plants are repeated.
For its part, Ecuador responded by increasing the transportation rates for Colombian crude oil through its pipelines, from $3 to $30 per barrel, an increase that significantly increases the cost of Ecopetrol’s export operation and could affect the continuity of its transportation to international markets.
The impact on commercial goods is also clearly reflected: Ecuador will see the price of medicines and hygiene products imported from Colombia rise, while Colombia will face higher costs for food and seafood from Ecuador. The tension could translate into reduced availability, logistical delays and general increases in prices, affecting both companies and consumers.
Unions and authorities agree that, without a negotiated solution, these measures could prolong economic uncertainty and complicate the bilateral relationship, with consequences that go beyond trade and could impact prices, supply chains and business confidence.