Capital Update – For the Week Ending March 20, 2026

U.S., Ecuador Finalize Reciprocal Trade Agreement

What happened: The United States and Ecuador finalized a reciprocal trade agreement that will see the South American country open its market to more U.S. products and the United States cut tariffs on Ecuadorian goods, a win for U.S. pork producers.

Ecuador agreed not to apply variable tariffs to U.S. agricultural imports through the Andean Price Band System, a mechanism used to protect domestic farmers from price volatility in international markets by setting floor and ceiling prices for certain commodities and adjusting tariffs. More than 90% of U.S. farm products will get preferential treatment, and Ecuador will eliminate tariffs on a host of agricultural goods, including certain pork products. The country also will improve its tariff rate quota system, and it established TRQs for several products, with duty-free access in Year 1, including one for pork of 100 metric tons.

Among other concessions, Ecuador agreed to:

• Reform its import licensing and facility registration systems for agricultural products.
• Recognize U.S. sanitary/phytosanitary and other measures, such as technical regulations and standards for agricultural products, as equivalent to its own.
• Accept official U.S. government import certifications for agricultural products.
• Limit attestations and information required for agricultural import certificates to what the United States requires.
• Recognize the U.S. Department of Agriculture’s Food Safety and Inspection Service oversight of U.S. meat and poultry products and accept the FSIS Meat, Poultry and Egg Product Inspection Directory as the official list of establishments eligible to export.

For its part, the United States agreed to eliminate the 10% global tariff on Ecuador’s products and provide Most Favored Nation tariff rates for imports from the country if the goods cannot be grown, mined, or naturally produced in the United States.

NPPC’s take: NPPC supports the new agreement with Ecuador, which should open the South American market to more U.S. pork exports. To date, U.S. pork exports to Ecuador have been negligible because of the onerous non-tariff barriers to trade imposed on U.S. pork products.

Why it matters: Ecuador could be a good market for U.S. pork. It has a population of about 18 million and a cultural affinity for pork. Total two-way trade in goods and services between the United States and Ecuador was about $90.4 billion in 2024.

U.S. Pork Exports Start 2026 Higher Year Over Year

What happened: After a near-record year in 2025, U.S. pork exports started the new year trending up, with volume increasing by 3% and value rising by 4% from last January, according to data from the U.S. departments of Agriculture and Commerce and compiled by the U.S. Meat Export Federation.

January 2026 pork exports were almost 251,000 metric tons (mt), while value was more than $692 million. Mexico was the largest volume and value market followed by – in value order – Japan, China/Hong Kong, Canada, and South Korea. While China/Hong Kong saw year-over-year decreases in volume – down 6% – and value – down 14% – the other countries had increases in volume of 22%, 6%, and 3% and rises in value of 14%, 9%, and 7%, respectively.

Chile and Colombia posted impressive increases in value from January 2025 of 20% and 13%, respectively. Other countries with significant value increases in U.S. pork imports for January 2026 – from smaller base amounts – were the Dominican Republic (26%), Malaysia (128%), Singapore (95%), and Taiwan (205%).

What it means for producers: U.S. pork producers are dependent on exports, which in 2025 were the second-highest on record at $8.4 billion, equating to an average of $66 in value from each hog marketed and accounting for about 25% of total production. Those exports supported more than 140,000 U.S. jobs.

Look Ahead: NPPC to Celebrate National Agriculture Day

What’s happening: NPPC, along with dozens of other agricultural organizations and farmers from around the country, will celebrate National Agriculture Day on March 24. A live stream of the day’s events at the U.S. Department of Agriculture headquarters building in Washington, D.C., will be available starting at 9:30 a.m. Eastern. Register to watch the live stream here.

As part of the activities at USDA, NPPC President Rob Brenneman, a pork producer from Washington County, Iowa, will participate in a producer panel discussion along with American Soybean Association Vice President Dave Walton and National Association of Wheat Growers President Jaime Kress.

On Friday, President Trump will recognize the efforts of America’s agricultural producers on the White House South Lawn, hosting hundreds of farmers and ranchers from across the country, including several pork producers, to shine a spotlight on the men and women who produce the nation’s food, fiber, and fuel.

Click here for more information about Ag Day activities.