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DR-CAFTA: tariff preferences with the United States and Central America

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Last verified: 2026-10-30 · Status: Changing

DR-CAFTA has applied to the Dominican Republic since March 2007, with tariffs phased out on schedules of up to 10 years for industry and 20 for farm goods. Origin rests on tariff shift or regional content, with a 10% de minimis. It no longer guarantees duty free entry to the US, since the 2026 Section 301 duty hits most non textile goods.

USD figures use the Banco Central de la República Dominicana reference selling rate of RD$60.8594 per US dollar for 28 October 2026, the latest row in its published rate file on the verification date and the rate Aduanas lists for 29 October 2026, rounded to the cent.

Key facts

DR-CAFTA in force for the Dominican RepublicMarch 2007 dateMICM questions page, as of 2026-10-30 · in force
DR-CAFTA de minimis10 % of adjusted valueDR-CAFTA art. 4.6, as of 2026-10-30 · in force
Origin record keeping5 yearsDR-CAFTA art. 4.19, as of 2026-10-30 · in force
Longest tariff phase out, farm goods20 yearsMICM questions page, as of 2026-10-30 · in force

The rule

1. The treaty was signed on 5 August 2004 and took effect for the Dominican Republic in March 2007. Parties are Costa Rica, El Salvador, the United States, Guatemala, Honduras, Nicaragua and the Dominican Republic.MICM, Integración Comercial; Resolución 357-05, Acuerdos vigentes, 2004-08-05 official text · verified 2026-10-30
2. Tariff elimination ran from immediate to 10 or 20 year periods, depending on whether goods are industrial or agricultural.MICM, Integración Comercial, Acuerdos vigentes, 2004-08-05 official text · verified 2026-10-30
3. Goods originate if wholly obtained, made only from originating materials, or if non originating materials meet the tariff shift or regional content rule in Annex 4.1.DR-CAFTA, Chapter Four, art. 4.1 and art. 4.2, 2004-08-05 official text · verified 2026-10-30
4. A good that misses the tariff shift can still originate if non originating materials are up to 10% of adjusted value. Textiles have their own rule.DR-CAFTA, Chapter Four, art. 4.6, 2004-08-05 official text · verified 2026-10-30
5. Exporters, producers and importers claiming preference keep records for at least 5 years.DR-CAFTA, Chapter Four, art. 4.19, 2004-08-05 official text · verified 2026-10-30
6. Customs may verify by written requests, questionnaires or visits to the producer.DR-CAFTA, Chapter Four, art. 4.20, 2004-08-05 official text · verified 2026-10-30
7. A false exporter certification faces the same sanctions as a false import statement, and the exporter must promptly correct a certification it finds wrong.DR-CAFTA, Chapter Four, art. 4.18, 2004-08-05 official text · verified 2026-10-30
8. Ley 424-06 implemented the treaty in Dominican law, changing tax, IP and other laws, and includes border measures against counterfeit goods.Ley 424-06 de Implementación del DR-CAFTA, IP chapter including border measures, 2006-11-20 official text · verified 2026-10-30
9. The US imposed a Section 301 duty on Dominican goods from 24 July 2026, including most goods entered free under DR-CAFTA, except textile and apparel goods entered free under the agreement.USTR notice; CBP guidance CSMS 69326983, heading 9903.05.34 and 9903.05.95, 2026-07-24 official text · verified 2026-10-30 · changed: From 24 July 2026 non textile DR-CAFTA goods pay an additional 12.5% in the United States.

Worked example

  • A Dominican maker sells US$100,000 of qualifying non textile goods to a US buyer. Before 2026, duty under the agreement was US$0.
  • Now the US importer adds 12.5%, or US$12,500 (RD$760,742.50), unless an exemption applies. A qualifying apparel order of the same size stays at US$0.

Step by step

  1. Check the tariff line's staging category and origin rule in the agreement.
  2. Have the exporter or producer issue the certification, or certify yourself as importer if you hold the data.
  3. Claim the preference in the declaration and keep the certification.
  4. Correct and pay if you learn the claim was wrong.
  5. For sales to the US, price in the Section 301 duty unless an exemption applies.

Common traps

  • Preference and Section 301 are separate. Meeting origin no longer means zero duty in the US for most non textile goods.
  • The textile exemption needs duty free entry under the agreement, so a textile that fails its origin rule loses both.
  • Agricultural quotas under the treaty have their own codes and procedures. See the tariff quotas page.
  • The treaty text is by chapter on the Aduanas site, with annexes apart.

Sources

Related pages

Related: Dominican Republic country profile · live dashboard · central bank and release calendar · our posts on X · where Argentina is involved, see The Argentine Thread guide

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