On August 5, 2004, the United States signed the Dominican Republic-Central America-United States Free Trade Agreement (CAFTA-DR) with five Central American countries (Costa Rica, El Salvador, Guatemala, Honduras, and Nicaragua) and the Dominican Republic (the Parties). Under the Agreement, the Parties significantly liberalizes trade in goods and services.

The CAFTA-DR also includes important disciplines relating to: customs administration and trade facilitation, technical barriers to trade, government procurement, investment, telecommunications, electronic commerce, intellectual property rights, transparency and labor and environmental protection.

The Agreement entered into force for the United States and El Salvador on March 1, 2006; for, Honduras and Nicaragua on Aril 1 2006; and for Guatemala on July 1, 2006. The CAFTA-DR entered into force for the Dominican Republic on March 1, 2007, and for Costa Rica on January 1, 2009.

Honduras Trade & Investment Summary

U.S. goods and services trade with Honduras totaled an estimated $16.3 billion in 2022. Exports were $9.3 billion; imports were $7.0 billion. The U.S. goods and services trade surplus with Honduras was $2.4 billion in 2022.

U.S. goods exports to Honduras in 2022 were $8.0 billion, up 24.7 percent ($1.6 billion) from 2021 and up 39 percent from 2012. U.S. goods imports from Honduras totaled $6.1 billion in 2022, up 16.7 percent ($870 million) from 2021, and up 31 percent from 2012.  The U.S. goods trade surplus with Honduras was $1.9 billion in 2022, a 59.6 percent increase ($707 million) over 2021.

U.S. exports of services to Honduras were an estimated $1.4 billion in 2022, 1.4 percent ($19 million) less than 2021, but 64 percent greater than 2012 levels. U.S. imports of services from Honduras were an estimated $905 million in 2022, 13.6 percent ($108 million) more than 2021, and 51 percent greater than 2012 levels. Leading services exports from the U.S. to Honduras were in the travel, transportation, and financial services sectors. The United States had a services trade surplus of an estimated $457 million with Honduras in 2022, down 21.7 percent from 2021.

U.S. foreign direct investment (FDI) in Honduras (stock) was $1.4 billion in 2022, a 28.9 percent increase from 2021. U.S. direct investment in Honduras is led by manufacturing, nonbank holding companies, and professional, scientific, and technical services.