🇬🇹 Guatemala vs 🇧🇷 Brazil Tariffs — Import Duty Comparison (2026)

🇬🇹

Guatemala

Section 122 Rate10%

Section 301N/A

Section 232 (Metals)50%

Trade AgreementCAFTA-DR

Trade Volume$7B

Base Effective Rate10%

🇧🇷

Brazil

Section 122 Rate10%

Section 301N/A

Section 232 (Metals)50%

Trade AgreementNone

Trade Volume$92B

Base Effective Rate10%

Product Overlap

Both countries export these product categories to the US:

CoffeeSugar

🇬🇹 Guatemala Advantages

+Trade agreement: CAFTA-DR (duty-free on qualifying goods)
+Unique export categories: Bananas, Textiles, Palm oil

🇧🇷 Brazil Advantages

+Higher US trade volume ($92B vs $7B)
+Unique export categories: Crude oil, Iron ore, Soybeans

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

Both countries face the same base tariff rate of 10% on most goods entering the United States.

Both countries export Coffee, Sugar to the United States, creating direct competition in these sectors.

In terms of trade volume, Guatemala accounts for approximately $7B in bilateral trade with the US, compared to Brazil's $92B.

Both countries are subject to the 10% Section 122 tariff imposed on February 24, 2026, following the Supreme Court's ruling striking down IEEPA tariffs. This rate expires approximately July 24, 2026 unless Congress extends it.

Guatemala's advantages include: Trade agreement: CAFTA-DR (duty-free on qualifying goods); Unique export categories: Bananas, Textiles, Palm oil. Brazil's advantages include: Higher US trade volume ($92B vs $7B); Unique export categories: Crude oil, Iron ore, Soybeans.

With equivalent base tariff rates, the choice between Guatemala and Brazil depends primarily on product-specific duties, shipping costs, lead times, and supply chain considerations rather than the base tariff rate.

Frequently Asked Questions

Which has lower tariffs — Guatemala or Brazil?

Both countries face the same base Section 122 tariff of 10%. The difference comes from product-specific duties, Section 301 (China only), and Section 232 (metals).

Should I switch sourcing from Guatemala to Brazil?

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. With equivalent base rates, focus on non-tariff factors.

Do both Guatemala and Brazil face the same Section 122 tariff?

Yes, both countries are subject to the 10% Section 122 tariff imposed on February 24, 2026. This flat rate replaced the variable IEEPA tariffs struck down by the Supreme Court. It expires approximately July 24, 2026.

What products overlap between Guatemala and Brazil exports to the US?

Both countries export Coffee, Sugar to the US. Guatemala has total bilateral trade of ~$7B while Brazil has ~$92B.