Guatemala Defends Forced Labor Efforts Amidst Tariff Expectations at USTR Hearing

Guatemala's government presented its case before the U.S. Trade Representative (USTR) on Tuesday, defending its efforts in investigations concerning forced labor. The hearings are part of a broader USTR inquiry into 60 economies regarding their enforcement of prohibitions on goods produced through forced labor.

Meanwhile, Guatemalan export associations are actively participating, aiming to secure the removal of a 10% tariff currently imposed on various products. The Guatemalan Association of Exporters (Agexport) will present its arguments, while the Association of Agricultural Producers of Guatemala (Camagro), through the Central American Federation of Agricultural and Agribusiness Chambers (Fecagro), has also submitted public comments. Both are advocating for tariff exemptions on affected goods.

Carla Caballeros, executive director of Camagro, noted that the investigation phase is nearing its end, with public comments closing on July 6. The USTR received 1,512 public comments and 118 requests for hearings. Public hearings are scheduled from July 7 to 9, followed by a period for reply comments until July 14. The USTR will then evaluate the case to issue a final determination on proposed measures.

Agexport plans to emphasize Guatemala's role as a strategic and reliable partner for the United States. They will argue that Guatemalan exports complement, rather than displace, U.S. production, thereby enhancing hemispheric food security, competitiveness, and supply chain resilience. The USTR's final decision is anticipated in the second or third week of July.

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Guatemala is a strategic and reliable partner for the United States, whose exportable offer complements, and does not displace, U.S. production, which strengthens food security, competitiveness, and resilience of supply chains in the hemisphere.