We describe here two new species: Magnolia chiguila and M. mashpi and a new subsection, Magnolia subsect. Chocotalauma, sect. Talauma (Magnoliaceae). Magnolia chiguila is morphologically similar to M. calimaensis, but differs from the latter in having larger and broadly elliptic leaves with larger number of lateral veins and larger flowers with more numerous stamens and carpels. Magnolia mashpi is morphologically similar to M. striatifolia, but differs from the latter in having wider and broadly elliptic to obovate leaves with strongly arched lateral veins that are bullate and abaxially pubescent, more numerous stamens, carpels with a prominent apicule, longer sepals, larger outer and inner petals and glabrous peduncular internodes. The new species are found in the Pacific lowlands of western Ecuador, and all species of the new subsection are restricted to the Chocó biogeographic region of western Colombia and Ecuador. A key to the species of Magnolia subsects. Chocotalauma and Dugandiodendron is provided.