Ecuador Country Commercial Guide
Learn about the market conditions, opportunities, regulations, and business conditions in ecuador, prepared by at U.S. Embassies worldwide by Commerce Department, State Department and other U.S. agencies’ professionals
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Defense & Security
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Overview

Ecuador’s defense and security sectors offer opportunities for U.S. companies in both public and private acquisitions. 

The Ecuadorian government prioritizes the fight against transnational crime and the strengthening of citizen security. In January 2024, Ecuadorian President Daniel Noboa declared an “internal armed conflict” against transnational criminal organizations, designating 22 gangs as terrorist entities. This authorized military operations to combat organized crime linked to drug trafficking. The administration also militarized strategic points, deploying troops to regain control and prevent gang influence.   

Despite the opportunities presented for U.S. companies to provide products and services in this fight, public resources are limited, and authorities struggle to find funds for vital security resources. In 2024, Ecuador’s defense and security budget was $3.7 billion, including the Ministry of Defense (MOD), Ministry of Interior, Armed Forces, and National Police. Other entities in this sector include the national penitentiary system (SNAI), the strategic intelligence center (CIES), local municipalities, provincial security institutions like the Guayaquil Citizen Security Corporation (CSCG), and private security companies. Most of this budget covers salaries, pensions, and other fixed costs, leaving a smaller amount for new equipment investments. Fiscal constraints often lead to payment delays in public procurement. 

Although the government has acquired several security-related items in recent years, much larger investments are needed to adequately address Ecuador’s security crisis. This includes purchasing weapons, ammunition, vehicles, drones, ballistic protection materials, information technology, cyber defense software, communication equipment, and radars. With the rise in violence and extortions, the private sector showed increased demand for armored vehicles and protective equipment. Ecuador has only one state-owned industry that produces small arms and ammunition. The domestic defense sector is highly underdeveloped, meaning the Armed Forces imports most of its equipment.

Public procurement for the Ministry of Defense is conducted through invitations to companies registered in the ministry’s strategic goods supplier database (Bienes Estratégicos). For tenders from other state security institutions, the State notifies companies registered with the National Public Procurement Service (SERCOP). For classified purchases, the process is managed under a special regime, allowing participation from pre-registered and approved suppliers. U.S. companies are encouraged to register in both systems to receive direct invitations to participate in public tenders. The U.S. Department of Commerce offers advocacy support to American companies to improve their chances of winning foreign government procurements, with experience showing that approved advocacy efforts can positively impact outcomes.

The U.S. government provides support to Ecuador’s security forces to counter drug trafficking and other transnational crimes with equipment donations, specialized training, and technical assistance. This support includes assistance from the U.S. Department of State’s Bureau of International Narcotics and Law Enforcement Affairs (INL) and the U.S. Department of Defense (DOD).  These agencies operate through an open market competitive bidding system, mainly focused on supporting the Military and National Police for drug eradication and interdiction operations.

Leading Sub-sectors and Opportunities

Police, military, and security-related companies seek to upgrade their equipment to protect against and fight organized crime.  Ecuador’s security needs include:

Land, Air, Naval Vehicles 

  • Naval and riverine combat vessels

  • Unmanned Aerial Vehicles (UAVs)

  • Transport and cargo aircraft and helicopters

  • Armored vehicles (wheeled and tracked)

  • Mobile hospitals

Weapons and Ammunition 

  • Major weapons (mortars, howitzers, recoilless rifles, rockets)

  • Small arms (rifles and machine guns)

  • Multipurpose missiles (surface-to-air, air-to-surface, air-to-air)

  • Guided and precision bombs and missiles

  • Ammunition (various calibers)

  • Explosives for neutralizing landmines and unexploded ordnance (UXO)

Non-Lethal Equipment 

  • Non-lethal weapons (e.g., tasers, tear gas, rubber bullets)

  • Explosive Ordnance Disposal (EOD) protective gear (helmets, vests, deactivation suits)

  • Communications equipment

  • Search and rescue equipment

  • Early warning radars

C4ISR Systems 

  • Electronic warfare systems

  • Military communication systems

  • Command and control systems for cyber defense

Special Equipment 

  • Night vision goggles

  • Surveillance and reconnaissance pods

  • Mobile ground control stations

Resources

 

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