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US Strengthens Regional Textile Trade With Guatemala And El Salvador Deals

• By  Textile Excellence
• February 15, 2026

The United States is deepening its trade ties in the Western Hemisphere. Two new reciprocal trade agreements - with Guatemala and El Salvador - are being seen as major steps to strengthen the American textile supply chain.

The National Council of Textile Organizations (NCTO), which represents the full US textile industry from fibre and yarn to finished products, has welcomed both agreements.

NCTO President and CEO Kim Glas said the Guatemala agreement “marks an important step toward strengthening the US textile supply chain.” She praised the administration for removing reciprocal tariffs and granting preferential treatment to qualifying textile and apparel goods under the Dominican Republic-Central America-United States Free Trade Agreement (CAFTA-DR).

Glas added, “NCTO and the broader US textile industry are grateful to President Trump, US Trade Representative Ambassador Jamieson Greer, and the administration for concluding this agreement with Guatemala, following on the heels of the recently announced agreement with El Salvador.”

Guatemala alone accounts for nearly US$ 2 billion in two-way textile and apparel trade with the US. Across the CAFTA-DR region, the integrated co-production network generated US$ 11.3 billion in two-way trade in 2024 and supported more than 470,000 American textile jobs.

On El Salvador, Glas said the agreement will “help fortify a critical export market for the US textile industry and our workforce.” She described the US-Western Hemisphere supply chain as “a strategic bulwark against China and other Asian competitors.”

With these agreements, Washington is clearly reinforcing regional supply chains and positioning the Americas as a strong alternative to Asia in global textile trade.

NCTO President and CEO Kim Glas said the Guatemala agreement “marks an important step toward strengthening the US textile supply chain.” She praised the administration for removing reciprocal tariffs and granting preferential treatment to qualifying textile and apparel goods under the Dominican Republic-Central America-United States Free Trade Agreement (CAFTA-DR).