Overview
U.S. engagement with Guatemala and the Northern Central America (Guatemala, Honduras, El Salvador) focuses on improving regional security, curbing drug trafficking, and reducing migration drivers. During his February 2025 visit to the region, Secretary of State Marco Rubio reaffirmed U.S. support for stronger governance and regional stability to promote American security, safety, and prosperity.
Guatemala faces persistent security challenges, including narcotics trafficking, cartel incursions, gang violence, and weak institutions. Limited police capacity (35,000 officers vs. 143,000 private guards) and outdated military equipment hinder effective enforcement, prompting heavy reliance on private security services.
Private security is a growing sector, accounting for 10–12% of company budgets. The country has over 230 licensed firms and widespread use of security technologies. High crime and extortion rates drive demand for armed escorts, surveillance, and GPS tracking for cargo. The 2025 designations by the State Department of gangs operating in Guatemala (MS13 and Barrio18) as terrorist organizations are aimed at providing increased measures to address gang-directed crime.
The China’s Communist Party (CCP) poses growing competition for U.S. companies in the security sector, offering below-market pricing or low-cost security equipment (e.g., cameras, scanners) backed by state financing, affecting both private and government procurement. CCP suppliers often bypass local distributors, eroding trust and profit margins while disrupting the market with aggressive pricing strategies.
Key stats:
- Over 567,000 legal and 1.5M illegal firearms.
- There are currently more than 230 companies offering private security.
- An estimated 600 tons of cocaine is trafficked annually through Guatemala.
- The security environment remains a major concern for businesses and citizens, and a priority for international cooperation.
Table: Safety & Security Market Size, (USD millions)
| 2022 | 2023 | 2024 | 2025 estimated |
Total Exports | 31,334 | 32,648 | 28,377 | 31,255 |
Total Imports | 677,487 | 701,933 | 709,267 | 713,528 |
Imports from the US | 345,201 | 352,107 | 356,722 | 363,937 |
Trade Surplus/Deficit |
|
|
|
|
Exchange Rates | 7.70 | 7.70 | 7.70 | 7.70 |
Units: USD millions
Source: Secretaria de Integracion Economica Centroamericana (SIECA)
Data and Information Sources to use. (See more information below)
Leading Sub-sectors
U.S. products have a 50% market share in the security sector. Most of the well-known brand companies from the United States have a distributor or agent locally and offer training, installation, and after-sales service.
CCTV cameras and other security technology have gained immense popularity across the country with diverse application segments, and we project high growth in the upcoming years. The growing use of this equipment in schools, hospitals, streets, and retail sector is expected to ensure the development of the market in the country.
Best prospects for products and services in the security and safety sector include:
- Smart homes
- CCTV
- GPS and RFID technology
- Tokens (external devices to access electronic equipment)
- Metal detectors (manual and arc type)
- Biometrics
- Perimeter security
- Alarms
- Access control equipment
- Armored vehicles
- Drones
- Tactical equipment
The electronic security market is highly competitive and is supported by many large foreign players.
Opportunities
Guatemala offers strong opportunities for exporters of personal security products, high-tech protection systems, and cybersecurity solutions. All security-related products are imported, with no local manufacturing. Import duties range from 0–15%, though many items qualify for duty-free entry under DR-CAFTA, in addition to a 12% value-added tax.
Demand for advanced security technologies is growing steadily, driven by increasing concerns over both physical and cyber threats. Businesses and government institutions alike are investing in more sophisticated systems to protect data, infrastructure, and personnel.
In the private sector, there is ongoing demand for commercial and residential security solutions, including surveillance systems, metal detectors, biometric access controls, and centralized monitoring systems—particularly in office buildings, shopping centers, and financial institutions.
The public sector also represents a significant growth area. The Guatemalan government and local municipalities are actively acquiring and upgrading telecommunications infrastructure, digital surveillance technologies, cybersecurity systems, and border control tools. Equipment such as tactical gear, body cameras, and digital command centers are being deployed across police and municipal transit forces.
The joint cybersecurity review between the Government of Guatemala and the U.S. Department of Defense announced in April 2025 underscores ongoing bilateral cooperation. The review revealed activity from CCP-linked APT-15, a known advanced persistent threat group targeting governments in Central and South America. This highlights the urgency and strategic importance of enhancing Guatemala’s cyber defense capabilities and reinforces the demand for robust cybersecurity solutions.
Web Resources
- Secretariat for the Central American Economic Integration: Sieca
- Guatemalan Government Purchasing Website: Guatecompras
- Guatemalan Security Association: Gremial de Seguridad
Information
Interested parties may contact Commercial Specialist Antonio Prieto at antonio.prieto@trade.gov