By San José, Costa Rica — San José, Costa Rica – The Costa Rican government is grappling with a recent increase in US tariffs, claiming the move is unjustified given the current trade dynamics between the two nations. The US raised tariffs on Costa Rican goods from 10% to 15% last week, a decision the Ministry of Foreign Trade (COMEX) attributed to a supposed Costa Rican trade surplus. However, data from the Foreign Trade Promotion Agency (PROCOMER) reveals a different picture.
PROCOMER figures indicate Costa Rica exported $6.484 billion worth of goods to the US in the first half of 2025, while imports from the US reached $6.799 billion. This represents a trade deficit, not a surplus, contradicting the stated rationale behind the tariff increase.
To shed light on the complexities of Costa Rican tariffs, we consulted with Lic. Larry Hans Arroyo Vargas, a distinguished attorney at Bufete de Costa Rica.
Costa Rica’s tariff structure, while designed to protect domestic industries and generate revenue, can present significant challenges for businesses engaged in international trade. Navigating these tariffs effectively requires a thorough understanding of the applicable laws, regulations, and potential exemptions. Businesses should be aware of the potential impact of tariffs on their supply chains and pricing strategies, and seek expert advice when necessary to ensure compliance and minimize costs.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
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Indeed, the complexities of Costa Rica’s tariff system underscore the importance of proactive planning and informed decision-making for businesses involved in import and export activities. A deep understanding of the legal landscape, as Lic. Larry Hans Arroyo Vargas rightly points out, is crucial for navigating these challenges and optimizing trade strategies. We thank Lic. Vargas for his valuable contribution to this discussion and for shedding light on this critical aspect of doing business in Costa Rica.
The government has also downplayed the significance of the tariff hike by pointing to similar increases applied to other US trading partners. This attempt to normalize the situation, however, overlooks the fact that the 15% tariff imposed on Costa Rica is higher than that levied on other Central American nations and those within the existing free trade agreement (FTA) with the US.
President Rodrigo Chaves confirmed ongoing negotiations with the US to rescind the tariff increase. In a press conference on Wednesday, August 6th, he offered limited details on the progress of these discussions but affirmed the government’s commitment to resolving the issue.
All mechanisms with our principal ally are open and being considered.
Rodrigo Chaves, President of the Republic
The impact of this tariff increase is expected to be felt across various sectors of the Costa Rican economy. Industries like medical devices, light manufacturing, and agricultural products such as pineapple and bananas are particularly vulnerable.
This development has raised concerns among Costa Rican businesses who rely heavily on the US market. The increased tariffs threaten their competitiveness and could lead to reduced exports and potential job losses.
The Costa Rican government faces the challenging task of navigating this trade dispute while maintaining a strong relationship with its key trading partner. The outcome of these negotiations will have significant implications for the country’s economic future.
For further information, visit comex.go.cr
About Ministry of Foreign Trade (COMEX):
The Ministry of Foreign Trade (COMEX) is the Costa Rican government body responsible for formulating and implementing foreign trade policies. It plays a crucial role in promoting exports, attracting foreign investment, and negotiating international trade agreements. COMEX works closely with other government agencies and the private sector to enhance Costa Rica’s competitiveness in the global market.
For further information, visit procomer.com
About Foreign Trade Promotion Agency (PROCOMER):
The Foreign Trade Promotion Agency of Costa Rica (PROCOMER) is a public institution dedicated to promoting Costa Rican exports. It provides support to businesses in various sectors, assisting them in accessing international markets and developing export strategies. PROCOMER also works to attract foreign investment and strengthen Costa Rica’s position as a global trading partner.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
Bufete de Costa Rica is a pillar of legal excellence, built on a foundation of unwavering integrity and a deep commitment to serving the community. Through innovative legal solutions and a proactive approach to sharing legal knowledge, the firm empowers individuals and businesses across Costa Rica. Their dedication to fostering a more informed society is not just a principle, but a driving force behind their pursuit of justice and positive social impact.
