The trade escalation between Colombia and Ecuador has put the business sectors of both countries on alert, as they warn of the risk of a broader economic crisis if reciprocal measures that strain a relationship that for decades has been key to Andean trade are not halted.
What began with unilateral tariff announcements by Quito on Colombian products has turned into a series of retaliatory actions that are already hitting production chains, export flows, and even energy availability, in a context where thousands of formal companies are seeing their regional competitiveness weakened.
Against this backdrop, business associations and chambers are making an urgent call on the governments of Bogotá and Quito to de-escalate the dispute through diplomatic dialogue and agreements that restore cooperation mechanisms, warning that a “trade war” would not only damage bilateral markets but also the pocketbooks of consumers on both sides of the border.
Colombia–Ecuador crisis: business leaders urge de-escalation, warn against tariffs
Tensions between the two neighboring countries were triggered when Ecuadorian President Daniel Noboa announced in Davos the imposition of a 30% tariff on imports of Colombian products starting February 1, 2026, citing a lack of cooperation on border security and a trade deficit that exceeds one billion dollars a year.
That announcement was interpreted in Bogotá as a unilateral measure that breaks with customary practices of bilateral coordination and directly affects exporters in sectors such as food, manufacturing, and raw materials.
The response from the Colombian government was swift. In a move that further escalated tensions, Bogotá announced the imposition of reciprocal 30% tariffs on around twenty Ecuadorian products and even the suspension of electricity sales to Ecuador, an unprecedented measure that took by surprise even sectors that have traditionally defended energy integration in the region.
The announcement of the energy suspension was justified by Colombia’s minister of mines and energy as a need to preserve domestic supply security in a context of climate variability, although the decision became known amid the trade clash.
Business leaders call for calm and diplomacy
Amid this exchange of measures, Colombian business leaders have expressed concern about the impact that a prolonged escalation could have on the real economy. The president of the Colombian-Ecuadorian Chamber of Commerce recalled that Ecuador is one of the most important destinations for Colombian exports and that Colombia, in turn, is a key partner for Ecuadorian supply, particularly of industrial goods and energy.
That complementarity, she said, is weakened when costs rise and trade volumes decline, which could translate into losses of competitiveness and markets for formal companies.
Business associations have also warned that the impacts do not remain confined to the yards of large companies but are passed on to consumers, who could face price increases of up to 30% on basic products if tariff barriers persist. For many medium-sized and small exporters, the uncertainty generated by unilateral measures is freezing investments and production plans that were aligned with the neighbor’s needs.
“Tariff confrontation produces no winners; the biggest losers will be consumers and companies that depend on supply chains,” warned a Colombian business leader.
The tariff dispute is already having tangible effects along the Colombia–Ecuador border, where the Rumichaca international bridge and other border crossings are seeing logistical chaos and truck congestion as companies rush to ship goods before the new rates take effect. Transport companies and exporters have reported increases of up to 20% in freight costs in just 48 hours, and small exporters find themselves unable to compete due to a lack of certainty and resources.
Analysts consulted by regional media note that a prolonged clash could encourage smuggling and the relocation of industries, further weakening the economies of border areas and the fiscal revenues derived from foreign trade. The border, once a symbol of trade integration, is now seen as a critical point that could redefine regional economic relations.
Andean integration at stake
Far from the political trenches, regional bodies such as the Andean Community (CAN) have offered to mediate between the two governments to postpone the implementation of tariff measures and open spaces for dialogue that prioritize integration and the well-being of Andean citizens.
The CAN secretary general urged Colombia and Ecuador to suspend protectionist measures and address their concerns through negotiations, underscoring that economic cooperation and regional integration must prevail over unilateral decisions that put decades of shared agreements at risk.
Meanwhile, concern is growing in business circles over the possibility that without a swift de-escalation, bilateral relations could suffer deeper deterioration, with effects that could extend beyond trade in goods to affect investment, employment, and economic stability in both countries.
The underlying call is clear: reverse hostile measures, sit down at the table, and rebuild a dialogue that so far has given way to decisions that could leave a lasting mark on the economic and trade relationship between Colombia and Ecuador.