Colombia and Ecuador have imposed reciprocal 30% tariffs on each other's imports, escalating a conflict that includes Colombia's suspension of electricity exports and Ecuador's 900% hike in crude oil transport fees. This dispute threatens bilateral trade and Andean regional integration. Colombian officials seek dialogue to de-escalate the situation.
The commercial relationship between Colombia and Ecuador has entered a phase of intense confrontation. Both countries imposed 30% tariffs on each other's imports, a shift from historical trade integration. Colombia suspended electricity exports to Ecuador, which cover about 8% of its demand, in response to Ecuadorian measures. Ecuador retaliated by raising the crude oil transport fee through the SOTE pipeline by 900%, from US$3 to US$30 per barrel, affecting 13,250 barrels daily since January 23, 2026. Ecuador justifies this retaliation citing Colombia's alleged 'lack of cooperation on security matters,' according to President Daniel Noboa and Environment and Energy Minister Inés Manzano. Colombian Foreign Minister Rosa Villavicencio expressed surprise at the tariffs and reiterated dialogue efforts: 'The Government was surprised by the tariffs imposed by President Daniel Noboa' and 'We hope dialogue will lead us to lift the sanctions soon.' Colombia sent a protest note without a positive response. Defense Minister Pedro Sánchez highlighted a 321% increase in anti-narcotrafficking operations on the border. Commerce Minister Diana Marcela Morales announced potential 30% tariffs on Ecuadorian products and a credit line with Bancoldex for exporters. In 2025, Colombia had a US$920.7 million trade surplus with Ecuador, with exports of US$1,673 million, mainly energy, medicines, insecticides, and vehicles, though down 3.2%. Ecuador relies on hydroelectric power for 70% of its energy matrix, making it vulnerable. According to Anif, the conflict could heighten economic uncertainty and disrupt productive linkages in the Andean Community. A meeting between the presidents is announced to seek diplomatic de-escalation, crucial amid internal and regional challenges.