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Master Plan Tariffs Tool

πŸ‡ΈπŸ‡» El Salvador vs πŸ‡¨πŸ‡± Chile Tariffs β€” Import Duty Comparison (2026)

πŸ‡ΈπŸ‡»

El Salvador

Section 122 Rate10%
Section 301N/A
Section 232 (Metals)50%
Trade AgreementCAFTA-DR
Trade Volume$4B
Base Effective Rate10%
πŸ‡¨πŸ‡±

Chile

Section 122 Rate12.5%
Section 301N/A
Section 232 (Metals)50%
Trade AgreementUS-Chile FTA
Trade Volume$30B
Base Effective Rate12.5%

πŸ‡ΈπŸ‡» El Salvador Advantages

  • +Lower overall tariff rate (10% vs 12.5%)
  • +Unique export categories: Textiles, Coffee, Sugar

πŸ‡¨πŸ‡± Chile Advantages

  • +Higher US trade volume ($30B vs $4B)
  • +Unique export categories: Copper, Lithium, Salmon

When choosing between El Salvador and Chile as import sources, US businesses must weigh tariff rates, trade agreements, product availability, and supply chain logistics.

El Salvador has a lower effective tariff rate (10%) compared to Chile (12.5%), a difference of 2.5%.

These countries have largely distinct export profiles to the United States, serving different market segments.

In terms of trade volume, El Salvador accounts for approximately $4B in bilateral trade with the US, compared to Chile's $30B.

Both countries are subject to the Section 301 forced-labor tariff that replaced the flat 10% Section 122 rate on July 24, 2026 β€” a two-tier 10%/12.5% duty on roughly 60 economies (about 99.4% of US imports by value), broader than the earlier 46-country proposal. Section 122 had itself replaced the IEEPA tariffs struck down by the Supreme Court. In August 2026, 25 states sued to block the forced-labor tariff, but CBP continues collecting it while the case proceeds.

El Salvador's advantages include: Lower overall tariff rate (10% vs 12.5%); Unique export categories: Textiles, Coffee, Sugar. Chile's advantages include: Higher US trade volume ($30B vs $4B); Unique export categories: Copper, Lithium, Salmon.

For most product categories, El Salvador currently offers lower import costs due to its tariff advantage. However, importers should consider factors beyond tariffs including shipping costs, lead times, quality standards, and supply chain reliability.

Frequently Asked Questions

Which has lower tariffs β€” El Salvador or Chile?
El Salvador has a lower effective tariff rate (10% vs 12.5%).
Should I switch sourcing from El Salvador to Chile?
The decision depends on more than tariff rates. Consider total landed cost (shipping, insurance, customs fees), lead times, quality standards, minimum order quantities, and supply chain reliability. The 2.5% tariff difference is significant but not the only factor.
Do both El Salvador and Chile face the same base tariff?
Yes, both countries are subject to the Section 301 forced-labor tariff that replaced the flat 10% Section 122 rate on July 24, 2026 β€” a two-tier 10%/12.5% duty on roughly 60 economies, broader than the earlier 46-country proposal. Section 122 had itself replaced the variable IEEPA tariffs struck down by the Supreme Court.
What products overlap between El Salvador and Chile exports to the US?
Both countries export various products to the US. El Salvador has total bilateral trade of ~$4B while Chile has ~$30B.

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