2 weeks ago
6
Akash Samaroo
Despite it being deadline day for the US to impose its 15% reciprocal tariff on a range of goods imported from Trinidad and Tobago, Prime Minister Kamla Persad-Bissessar seeks to assure the nation that the Government is exploring three options, one being continued dialogue with the United States.
The increase is expected to affect Trinidad and Tobago’s manufacturing and export sectors. While energy products like crude oil and natural gas are exempt, major exports such as ammonia and fertiliser will face the new tariff.
August 7 was designated as the deadline for the imposition of the tariff.
Speaking during her tour of the USNS Comfort, a U.S. Navy hospital ship docked at the Port of Port of Spain, Prime Minister Persad-Bissessar told reporters that, with regard to the tariff, “We have three options. We are following all three options.”
The PM elaborated on two of them as she added, “One is, of course, to engage in conversations with our friends from the United States. The second that we’ve already begun is looking for alternative markets we can export. I think the products that we most need will be our ammonia and methanol products, energy products. But then our competitors are also being hit with tariffs.”
Persad-Bissessar noted that reciprocal tariffs are being imposed globally and therefore other nations would be similarly affected.
“So, if it reduces our competitiveness, theirs is also reduced.”
The United States remains Trinidad and Tobago’s largest trading partner, with total trade estimated at approximately US$6 billion.
Trinidad and Tobago and Guyana are subject to a 15% tariff, while other CARICOM members remain at a lower rate.
A reciprocal tariff is a tax imposed by one country on imports from another country, designed to match or “reciprocate” the tariffs that the other country places on its own exports.
The United States has said it is imposing reciprocal tariffs to address several concerns, including correcting trade deficits, combating unfair trade practices, and protecting domestic industries by making imports more expensive. The tariffs also serve as a negotiating tool to push for fairer trade agreements and, in some cases, are used to advance broader foreign policy goals, such as discouraging purchases of Russian oil.
Minister of Trade, Industry and Tourism Satyakama Maharaj has previously framed the tariffs as a “blessing” and a “wake-up call” that should encourage Trinidad and Tobago to diversify its export markets.
He suggested that this is an opportunity for the country to reduce its reliance on the U.S. and actively seek new trade partners.
English (US) ·