Guatemala will continue with the road map and the intention to dialogue with the United States on the tariff issue, amid the legal struggle that emerged in that country, where a court suspended on May 28 the tariffs approved by President Donald Trump. A day later, an appeal court resolved in his favor and restored those taxes.
According to information released by international agencies and media, the Federal Circuit Court of Appeals ordered on Thursday, May 29, the administrative suspension of the International Trade Court decision issued the previous day, until they hear more legal arguments.
An American Court of Appeals temporarily maintained those tariffs until pronouncing on the bottom of the case, less than 24 hours after another court blocked them.
Juan Carlos Zapata, executive director of the Foundation for the Development of Guatemala (Fundesa), explained that, with that decision, the tariffs remain in force, and now the key dates will be on June 5 and 9.
The Court of Appeals, based in Washington DC and called Federal Circuit, asked the companies that challenge the tariffs that present their arguments in writing before June 5, while the Department of Justice must respond before June 9.
After that, and depending on the result in the Cortes, the Government must receive instructions from the Office of the United States Commercial Representative (USTR) about whether it will continue with the initially agreed conversations process, Zapata explained.
What will Guatemala do?
The Public-Private Delegation turned three days of meetings with authorities and business chambers in Washington DC, in search of reinforcing trade with the United States, negotiating the elimination of the 10% tariff and presenting advances in the solution of commercial barriers indicated by the USTR.
On Thursday morning, the Minister of Economy, Gabriela García, provided statements via virtual communication. Regarding the resolution that suspended tariffs and status for Guatemala, he indicated that they were aware of what was announced in the press media, and that they were waiting for official communication to know the scope of the resolution.
The Secretary of Social Communication of the Presidency, Santiago Palomo, explained that, after the resolution of the aforementioned court, there are still legal measures that interested parties can file as part of the process. However, it also did not confirm the current status of the 10% tariff set to Guatemala since last April.
Hours later the appeal resolution arose, with which the tariffs were restored, although the case remains in process.
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Garcia described the visit of the delegation as very successful, and indicated that the joint presence of the private sector with the official government delegation “gives a very forceful message of the work that is being done.” He commented that the United States commercial representative Jamieson Greer recognized the advances presented.
The meeting lasted about 30 minutes, but the initial comments of the official were satisfaction, observing that as a country it had advanced in many of the non -tariff commercial barriers, which were challenges for investments and trade of US companies in Guatemala and the Guatemalans that export to the United States, the official added.
The advances of the road map were delivered and checked in what phase it is, what barriers have already been solved or are to be resolved, the steps for the following months and the work schedule that continues.
The minister said that the work will continue, and that, although the situation forced the process to accelerate the process, it had already been working since last year to improve trade facilitation, regardless of the immediate pressure.
Regarding the deadlines, he indicated that on Tuesday it was agreed that, after the Guatemalan delegation confirmed its intention to initiate formal conversations, in the next two weeks the USTR will evaluate the case of Guatemala.
Greer indicated that many countries are asking for a audience, but according to Garcia, the difference is that Guatemala was already prepared with a proposal, advances and a work schedule that will not stop.
As a trade department, they will send a framework proposal in the next two weeks, which must be evaluated to initiate formal conversations. From there a joint schedule would be established.
He added that the country will continue working on the road map to solve those difficulties. The decisions of the courts on the suspension or not of the tariffs are attentive, but that does not prevent or limits that the country continue to improve its processes.
Asked about the commercial deficit in the agricultural area mentioned in the United States, the minister said that Greer stated that this country has a positive commercial balance, and that this has been part of the annotations that have led to the 10% tariff to countries that do not represent a negative balance.
Guatemala has a negative trade balance with the US.
In fresh products, fruits and vegetables, Guatemala is recognized as the main supplier. In addition, the possibility that at some point is analyzed by product in the framework of the conversations was valued. However, this is not yet official and the frame document is expected.
“My message would be: we continue on our road map. We are advancing, that does not stop,” Garcia said, adding: “The public-private mission launches a positive message from the country, a collaboration and important coordination. Our products were recognized as of excellent quality. We are still a country not only allied, but friend and strategically very important for them.”
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The President of AGEXPORT indicated that representatives of the US Department of Agriculture. And business chambers of that country mentioned their interest in reducing the deficit gap in the agricultural area.
According to data from the Bank of Guatemala, at the end of 2024 the country imported from the United States for US $ 10,545.4 million and exported for US $ 4,615 million.
For its part, the Agro Chamber of Guatemala (Camagro), with data from the USDA, reported that in 2024 the agricultural and agro -industrial trade recorded US imports from Guatemala for US $ 2,881 million and exports to Guatemala for US $ 1,876 million, with a balance in favor of Guatemala of US $ 1,005 million.
It was also requested to expedite the implementation of the law that allows you to import ethanol mixed with gasoline, an observation shared by a business chamber interested in exporting that product to the country.
Asked on the subject, the official said he has no knowledge about it.
In addition, Edwin Barrios, director of Energy of the Ministry of Energy and Mines (MEM), indicated that the country prepares to implement the 10% ethanol mixture per gallon of gasoline. He explained that national legislation and regulation allow the purchase of local or foreign ethanol to mix it in the country, but not the importation already mixed, for technical reasons that seek to avoid risks of water pollution during maritime transport.