ANNOUNCEMENT 26 Aug 2009

In August 2009, the government of Ecuador announced a change in import duties.

NUMBER OF INTERVENTIONS

1

  • 0 harmful
  • 1 neutral
  • 0 liberalising

SOURCE



El Ciudano. (26 August 2009). Gobierno present? medidas econ?micas para incentivar la producci?n y el empleo. To be obtained at http://www.elciudadano.gov.ec/index.php?option=com_content&view=article&id=5181:gobierno-presento-medidas-economicas-para-la-produccion-y-el-empleo&catid=3:economic

Government of Ecuador. (26 August 2009. MEDIDAS ECON?MICAS PARA LA PRODUCCI?N Y EL EMPLEO 'Presentation'. To be obtained at
http://www.presidencia.gov.ec/pdf/Medidas%20Agosto09%20final%20final.pdf


Inception date: No inception date

Import tariff

On August 26 2009, the President of Ecuador, Rafael Correa, proposed "Economic Measures for Production and Employment". The measures included 

  1. The introduction of an import tariff of 12 percent on paper used by newspapers and magazines. (Previously this product exempted from import and value added taxes.)
  2. An increase in the currency outflow tax from 1 percent to 2 percent. In the face of increasing currency outflows (2008: USD 4.9 billion; 2009: USD 5.2 billion) the tax increase is to preserve liquidity in Ecuador.

These measures, and others, have been sent to the National Assembly for approval.
Both measures listed above will be discriminatory, if implemented: the first clearly alters the treatment of foreign commercial interests. The second measure affects the cost of paying for imports and of repatriating profits from foreign subsidaries located in Ecuador.
 
The Library Archive of the National Assembly does not report that the measure has ever been approved.

AFFECTED SECTORS

 

AFFECTED PRODUCTS