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Doing Business in Honduras

The Country Commercial Guide provides a useful starting point for U.S. businesses pursuing export and investment opportunities in Honduras.

Located in the geographic heart of Central America, Honduras has a democratic government and a free market economy. Exports to Honduras continue to perform well and as the 41st largest export market for U.S. companies in 2016 (0.33 percent of U.S. exports), Honduras’ population of 8.7 million is highly receptive to U.S. goods and services. Despite a complex domestic environment resulting from economic downturns and political reforms, the country is taking important steps towards improving its business investment climate, such as: adopting fiscal discipline and consolidation; infrastructure development through public private partnerships; combating corruption and security concerns; simplifying bureaucratic procedures; and focusing on improving overall competitiveness and productivity.

The United States is Honduras’ largest trade and economic partner, accounting for 61 percent of total imports. Exports to Honduras were $4.8 billion in 2016, slightly down by 8 percent from 2015 (sectors affected by commodity price decreases, such as mineral fuel, accounted for most of the decrease). The Central America – Dominican Republic Free Trade Agreement (CAFTA-DR), which entered into force in 2006, boosted U.S. export opportunities and diversified the composition of bilateral trade. Currently, U.S. exports to Honduras are up by 50 percent since 2005, the year before implementation of this Free Trade Agreement. CAFTA-DR implemented important measures related to investment, customs administration and trade facilitation, technical barriers to trade, government procurement, intellectual property rights, transparency, labor and environmental protection. As a result of this FTA, more than 95 percent of U.S. consumer and industrial goods exports to the Central America region, meeting relevant rules of origin, are no longer subject to tariffs.

Access the complete document, organized in short, standalone articles.


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