Ecuador is a dollar market with a moderate tariff — and a 5% tax on paying your supplier. Here is the tariff, the full tax stack with a worked example, who can import, how Paraguayan goods enter under ACE 59, technical rules, small shipments, free zones and what changed with China, the US and Colombia in 2026.
Ecuador uses the US dollar, so importers carry no currency risk. Its tariff is moderate — a simple average of about 13%, with peaks on vehicles, food and some consumer goods — and its VAT is 15%. Two charges make it different from its neighbours: a 0.5% levy (FODINFA) on every import, and the 5% ISD on money leaving the country, which applies when the importer pays the foreign supplier and, since 2025, is a cost rather than a tax credit.
2026 has also been unusually eventful: a “security fee” on Colombian goods that rose to 100% before being lifted, a trade agreement with the US awaiting approval, and the continuing phase-in of the agreement with China. This guide covers the tariff, the tax stack with a worked example, who can import, how Paraguayan goods enter under ACE 59, technical regulations, small shipments, special regimes and penalties.
For a side-by-side comparison of all six markets, see our regional customs guide.
Ecuador’s tariff, approved by the foreign-trade committee (COMEX) and administered by customs (SENAE), uses the Andean NANDINA nomenclature. Most duties are ad valorem on the CIF value; mixed duties (a percentage plus a dollar amount per litre, kilo or pair) apply to drinks, tyres, apparel, footwear and ceramics. Vehicles pay 35–40%, many foods 25% or more, while 128 lines were cut to 0% in 2021. The WTO puts the simple average applied rate at about 13% and the trade-weighted average at about 8%.
Sensitive farm products — rice, sugar, dairy, maize, oilseeds — are subject to the Andean price band, which adds variable duties when world prices fall below reference levels. The US agreement signed in 2026 would remove the price band for US goods once approved.
Law and practice: COMEX Resolution 002-2023 (tariff); WTO tariff profile; Chambers Doing Business 2026.
| Charge | Rate | Base |
|---|---|---|
| Customs duty | Mostly ad valorem; mixed duties on drinks, tyres, apparel, footwear, ceramics; simple average about 13% | CIF value |
| Andean price band | Variable duties on rice, sugar, dairy, maize, oilseeds | By product |
| FODINFA (children’s fund levy) | 0.5% | CIF value |
| Special consumption tax (ICE) | Specific rates on alcohol, beer, cigarettes, sugary drinks, plastic bags; ad valorem on others | By product |
| VAT (IVA) | 15% | CIF + duty + FODINFA + ICE |
| ISD on paying the supplier | 5% general; 2.5% or 0% for listed inputs and medicines in 2026 | Amount transferred abroad |
VAT has been 15% since April 2024 and remains so in 2026. It is credited by the importer against VAT on sales. The ISD is not a customs tax, but it is paid on the same transaction: when the importer transfers money to the foreign supplier, the bank withholds 5%. In 2026 listed raw materials and inputs pay 2.5% and listed pharmaceuticals 0%. Since 2025, ISD on imports can no longer be credited against income tax, so it is part of the landed cost.
Law and practice: Executive Decree 470 (VAT 15%); SRI Resolutions NAC-DGERCGC25-00000040 to 42 (ICE 2026); Executive Decree 272 (ISD rates 2026). See our ISD guide.
| CIF US$100,000, 10% duty | Non-agreement origin | Paraguayan origin (100% preference) |
|---|---|---|
| Duty | 10,000 | 0 |
| FODINFA 0.5% | 500 | 500 |
| VAT 15% | 16,575 | 15,075 |
| Total at clearance | 27,075 | 15,575 |
| ISD 5% on paying the supplier | 5,000 | 5,000 |
| Total including ISD | 32,075 | 20,575 |
| With ISD at 2.5% (listed inputs) | 29,575 | 18,075 |
| Pure cost for a VAT-registered importer | about 15,500 | about 5,500 |
For a VAT-registered importer, the duty, FODINFA and ISD are true costs; VAT comes back. That makes Ecuador more expensive than its low duty suggests: even a Paraguayan product with full preference costs about 5.5% in FODINFA and ISD. Importing listed inputs at the 2.5% ISD rate halves the second part.
Law and practice: Illustrative; no ICE. FODINFA shown on both columns; check whether your preferential line is exempt.
Only Ecuadorian residents — individuals or companies — can import. The steps are a tax number (RUC), an electronic signature certificate, registration in the customs system ECUAPASS, and approval by SENAE as an importer. The import declaration (DAI) can be filed from 15 days before to 30 days after arrival.
A customs agent is not legally required, though most importers use one, and SENAE’s own guidance presents clearance through an authorised agent as the normal route. A foreign company without an Ecuadorian entity sells to a local importer or sets up a company; our SAS guide covers the second route.
Inspection channels
Automatic, electronic, documentary, physical non-intrusive (scanner) and physical intrusive, assigned by risk.
Fees
SENAE charges no inspection fee; scanner charges are capped.
Abandonment
Missing two inspection appointments means the goods are deemed abandoned.
Regimes
Consumption, temporary admission for re-export or processing, warehousing, transformation and re-import.
Law and practice: SENAE procedures and resolutions on inspection (2024–2025); Production Code (COPCI), art. 228.
The customs value is the transaction value under WTO rules, on a CIF basis: the price paid plus freight and insurance to the Ecuadorian port. Since late 2023 freight has been fully included, which raised the base for importers who used to declare FOB-style values. SENAE compares declared prices with its own databases and can ask for evidence — contracts, payment records, freight invoices — when values look low, especially for consumer goods from Asia and for related-party purchases.
Commercial invoice
Full description, unit prices, quantities, Incoterm and origin, matching the payment that will later carry ISD.
Transport document
Bill of lading, air waybill or road consignment note.
Certificate of origin
Required for any preference under ACE 59, the China agreement or the EU agreement.
Insurance
Part of the CIF value; if goods are not insured, customs may add a notional amount.
Permits
Sanitary, phytosanitary and technical certificates where the product requires them.
One detail is specific to Ecuador: because the ISD is withheld by the bank on the payment, the payment record and the import declaration end up in the same file at the tax authority (SRI). Mismatches between declared value and money transferred are easy to spot. Keep them aligned.
Since 2018, conformity certificates under Ecuador’s technical regulations (INEN) are no longer a prior requirement for most goods; controls moved to the market. Where a regulation still applies, the importer needs a conformity certificate and an INEN recognition certificate; EU-origin goods can often use a supplier’s declaration. The US agreement would recognise US standards for vehicles, pharmaceuticals and medical devices. Sanitary and phytosanitary permits remain for food, medicines and agricultural goods.
Law and practice: COMEX repeal of Resolution 116 (November 2018).
Paraguayan goods enter Ecuador under ACE 59, the agreement between the Andean Community and Mercosur, in force between Paraguay and Ecuador since April 2005. Ecuador grants Paraguay preferences on 6,378 of 6,524 tariff lines — about 98% — with an average preference of about 95%. Most goods enter at 0%, but some lines keep partial preferences as low as 10%, and sugar is excluded. Check the exact line before quoting.
Certificate of origin
Issued by Paraguay’s authorised bodies, paper with signature, valid 180 days.
Third-country invoicing
Allowed.
Pharmaceuticals
Paraguay’s main export to Ecuador; listed medicines also pay 0% ISD in 2026.
Payment
The Ecuadorian buyer pays ISD on the transfer to Paraguay, unless the goods are on a reduced list.
Volumes are small — about US$15 million a year from Paraguay to Ecuador and US$12 million the other way — which means most Ecuadorian importers have never handled a Paraguayan certificate of origin. Send a sample certificate and the tariff classification with the first quotation; it saves days at clearance and avoids the importer paying full duty out of caution.
More on the trade relationship in our ACE 59 guide.
Law and practice: ALADI fact sheet for ACE 59.
| Small shipments | Since 2025 |
|---|---|
| Category B (“4×4”): up to 4 kg and US$400, personal use | Flat US$20 per package |
| Postal “2×2” through the state postal service | Tax-free only within very low weight and value limits |
| Commercial goods | Ordinary import with a declaration (DAI) |
Since June 2025, personal-use courier parcels up to 4 kg and US$400 pay a flat US$20, and a postal exemption applies only within very low limits through the state postal service. Commercial goods, including samples above those limits, go through the ordinary import declaration.
Law and practice: COMEX Resolution 006-2025; Executive Decree 82/2025.
Free zones
Since the 2023 law, free zones replaced the old ZEDE: no duties, VAT or ISD on operations, 0% income tax for five years then 15%, exempt dividends. Zones include ZOFRAPORT next to Posorja port.
Temporary admission
For re-export in the same state or for active processing, usually one year.
Drawback
Conditional refund of duties on inputs used in exports, including a simplified automatic version.
Bonded warehouses
Storage for up to a year and a half before duties are paid.
For importers bringing in inputs for export processing, a free zone also removes the ISD on payments abroad, which no other regime does.
Law and practice: Organic Law on Economic Efficiency (December 2023) and its regulation; COPCI art. 157. See our incentives guide.
China agreement
In force since May 2024: more than 4,600 products duty-free immediately, others phased out over 5–20 years, including cars.
US agreement
Signed in March 2026: Ecuador would open over 90% of tariff lines to US goods, cut duties on machinery and inputs and drop the price band for US goods. On 16 October 2026 the Constitutional Court ruled it needs National Assembly approval; it is not yet in force.
Colombia
A “security fee” on Colombian goods rose from 30% in February to 100% in May 2026 and was repealed on 1 June; imports from Colombia fell by a third in the first quarter.
ISD
Reduced 2.5% and 0% rates for listed imports in 2026, with the list expanded in June.
Law and practice: SENAE Resolution SENAE-SENAE-2026-0051-RE (repeal of the security fee); Constitutional Court ruling of 16 October 2026.
Because only residents can import, most foreign exporters sell to an Ecuadorian distributor or customer who acts as importer, pays the duties, VAT and ISD and credits the VAT. The ISD affects the price negotiation: an importer paying 5% on every transfer abroad will compare your offer with local suppliers and with sources whose goods are on the reduced-ISD lists.
Sell to an importer
Price FCA, CPT or DAP; the buyer clears and pays ISD when paying you.
Your own company
An SAS imports, holds stock and sells locally; it pays ISD on each payment abroad and 10% on dividends to a foreign owner.
Free-zone distribution
Stock held in a free zone without duties, VAT or ISD, imported as it is sold.
Letters of credit and financing
Can change how and when the ISD is paid; take advice before structuring.
Guayaquil handles most of Ecuador’s container imports, and DP World’s deep-water port at Posorja takes the largest ships. There are no recent official clearance-time figures; the old benchmark of about five days is outdated. The customs value is the CIF value, so freight is in the duty, FODINFA and VAT base.
A full landed-cost model for Ecuador has four layers: duties and FODINFA, VAT (recoverable), ISD on the supplier payment (a cost), and domestic logistics and broker fees. For goods from Paraguay, freight via Chilean or Atlantic ports and the Panama Canal usually outweighs the duty saving under ACE 59; the agreement matters most for products with high Ecuadorian duties.
Forgetting ISD
5% on the payment, not creditable since 2025; check the reduced lists.
Assuming full preference
Some ACE 59 lines carry partial preferences only.
Missing inspections
Two missed appointments and the goods are deemed abandoned.
Technical rules
Regulated goods without certificates are held.
Policy swings
Duties and fees on neighbouring countries changed within weeks in 2026.
Tariff line, duty, price band, ICE, technical rule.
RUC, electronic signature, ECUAPASS, SENAE approval.
ACE 59 certificate for Paraguayan goods; check the line’s preference.
ISD at 5%, or 2.5% or 0% if on the 2026 lists.
If the goods are processed or re-exported.
Duty, FODINFA, ISD and freight; VAT back.
Customs duty, a 0.5% FODINFA levy, special consumption tax on some goods, and 15% VAT; the importer also pays 5% ISD when paying the foreign supplier.
Yes, on the payment abroad: 5% generally, 2.5% for listed raw materials and inputs and 0% for listed medicines in 2026. Since 2025 it is not creditable against income tax.
Most enter at 0% under ACE 59 with a certificate of origin; some lines have only partial preferences and sugar is excluded.
Only Ecuadorian residents, individuals or companies, registered with a RUC, an electronic signature and ECUAPASS.
Not legally, but most importers use one.
No. Only residents can import; foreign exporters sell to an Ecuadorian importer or set up a local company such as an SAS.
Yes. The customs value is CIF, so freight and insurance to the Ecuadorian port are part of the base for duty, FODINFA and VAT.
Personal parcels up to 4 kg and US$400 pay a flat US$20 per package since June 2025.
Not yet. It was signed in March 2026, and in October 2026 the Constitutional Court ruled it needs National Assembly approval.
The 5% tax on paying your foreign supplier.
What moves between the two countries.
Tell us the product, its origin and who will import it. We confirm duty, ISD and the importer set-up — fixed quote within one business day.
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