Ecuador hikes tariffs on Colombian imports to 50%

The Ecuadorian government has announced that it will raise tariffs on imports from Colombia from 30 percent to 50 percent starting March 1, escalating a growing trade and security dispute between the two neighbouring Andean nations.

The decision, made public on Thursday, follows an earlier 30 percent tariff imposed in early February. Authorities in Quito say the move is aimed at addressing what they describe as trade imbalances and inadequate cooperation from Colombia on border security issues.

Ecuador’s President, Daniel Noboa, has repeatedly urged his Colombian counterpart, Gustavo Petro, to intensify efforts to combat narcotics trafficking and strengthen security along their shared border. The two countries share a 586-kilometre (364-mile) land boundary, and both lie along the Pacific coast.

Quito has also cited a widening trade deficit as justification for the tariff increase. Government data indicates that Ecuador’s trade deficit with Colombia reached approximately $1.03bn in 2025, excluding oil. Colombian exports to Ecuador are valued at about $2.13bn, while Ecuador exports goods worth roughly $863m to Colombia.

However, uncertainty remains over whether the new tariffs will apply to Colombian electricity exports, which are crucial to Ecuador’s energy supply. In retaliation for the initial tariff hike, Colombia suspended electricity sales to Ecuador, raising concerns about potential power shortages.

Ecuador has faced recurring electricity disruptions due to droughts affecting hydroelectric dams, which generate nearly 70 percent of the country’s power. Previous outages have triggered public protests, prompting the government to purchase electricity from Colombia to stabilise supply.

Tensions have also extended to oil transport. Ecuador recently increased transit fees for Colombian crude shipped through the Trans-Ecuadorian System Oil Pipeline (SOTE) by 900 percent, raising costs to about $30 per barrel. In response, Colombia halted oil shipments through the pipeline.

Despite diplomatic engagements between officials from both countries this month, no breakthrough has been achieved. Ecuador’s Ministry of Production and Foreign Trade has accused Colombia of failing to implement “concrete and effective” measures to curb drug trafficking along the border.

The latest tariff hike underscores deepening strains in bilateral relations, with economic and security issues increasingly intertwined.

Written by Adeyemi Adewale