Stable with slight growth due to demand for power equipment in industrial sectors
Special Rates
Preferential Rate
0%
Applicable under CAFTA-DR for qualifying goods from the United States, subject to rules of origin and proper documentation (Certificate of Origin).
Additional Information
No additional information available.
Last updated: 1 year ago
News and Updates
Recent News
U.S.-El Salvador Trade Agreement Boosts Electrical Equipment Exports
A recent trade agreement under the CAFTA-DR framework has led to an increase in exports of electrical transformers with a power handling capacity between 16 kVA and 500 kVA (HS Code: 8504.22) from the U.S. to El Salvador, with a reported 12% rise in shipments this quarter.
2023-10-15
Impact: This surge is expected to strengthen U.S. manufacturers' market share in Central America, potentially increasing bilateral trade volume in this category by 15% annually.
El Salvador Increases Demand for U.S.-Made Transformers
El Salvador's growing industrial sector has driven a spike in demand for U.S.-made electrical transformers in the 16-500 kVA range (HS Code: 8504.22), with imports rising by 8% year-over-year as reported by the U.S. Department of Commerce.
2023-09-20
Impact: This trend may encourage U.S. exporters to prioritize El Salvador as a key market, potentially leading to long-term supply contracts and stable trade growth.
Supply Chain Delays Impact Transformer Exports to El Salvador
Logistical challenges at U.S. ports have delayed shipments of electrical transformers (HS Code: 8504.22) to El Salvador, affecting the delivery of equipment in the 16-500 kVA range and causing a temporary 5% drop in trade volume.
2023-08-05
Impact: These delays could lead to short-term losses for U.S. exporters and may push El Salvador to explore alternative suppliers if issues persist.
Policy Updates
CAFTA-DR Tariff Reduction on Electrical Equipment
Under the Central America-Dominican Republic Free Trade Agreement (CAFTA-DR), tariffs on electrical transformers with a power handling capacity between 16 kVA and 500 kVA (HS Code: 8504.22) have been reduced by 2% for trade between the U.S. and El Salvador, effective from July 1, 2023.
