Ecuador’s President Daniel Noboa announced a 27% tariff on Mexican goods to protect local producers, stating he remains open to a free trade deal but not under “abuse.” Ecuador imported $541 million worth of goods from Mexico in 2023, with medication being the largest category at 12.6%. However, Ecuador represents less than 0.1% of Mexico’s exports.

The tariff announcement follows strained diplomatic ties, including a controversial 2024 raid on the Mexican embassy in Quito, where Ecuadorian police arrested former Vice President Jorge Glas, who sought asylum in Mexico over embezzlement charges he claimed were politically motivated.

Noboa, Ecuador’s youngest president, took office in 2023 and has pursued a tough stance on crime, declaring “war” on over 20 criminal gangs.