U.S. President Donald Trump announced on April 2, 2025, a 10% tariff on exports from most Caribbean countries, including Jamaica, to the American market. The decision, unveiled during a White House media conference, is part of a broader move to impose reciprocal tariffs on countries that tax U.S. imports.
This tariff applies to several Caribbean nations, including St. Lucia, the Dominican Republic, Trinidad and Tobago, The Bahamas, Grenada, St. Kitts, Haiti, Sint Maarten, Suriname, Belize, British Virgin Islands, Barbados, Cayman, Curacao, Bermuda, Turks and Caicos, Aruba, St. Vincent, Montserrat, Guadeloupe, Martinique, Dominica, Anguilla, and Antigua.
Guyana’s tariffs are 38%. but each of the other nations will now face the same 10% levy on goods entering the U.S. In other words, persons importing goods from those countries into the U.S. will pay the tariff.
The White House justified the tariff as a reciprocal measure in response to a 10% duty that Jamaica and other Caribbean nations impose on U.S. imports.
Economic impact on the Caribbean and diaspora
Caribbean nations, many of which depend on the U.S. as their primary trade partner, could face economic strain due to the new tariffs. Businesses that export products like rum, coffee, seafood, and manufactured goods to the U.S. will have to factor in the additional cost to importers, potentially reducing their competitiveness.
For the Caribbean and the diaspora, this means:
- Higher cost for importers – Caribbean businesses in the diaspora importing products to the U.S. now face an extra 10% tariff, which can reduce their profit margins or force them to raise prices.
- Reduced Sales and Economic Slowdown – If sales drop due to the increased costs, Caribbean businesses may struggle, leading to job losses and slower economic growth.
- Higher Prices on Caribbean Goods in the U.S. – Caribbean products like coffee, rum, and seafood could become more expensive for U.S. consumers as importers and retailers pass on the additional cost.
- Fewer Caribbean Products Available – If Caribbean exporters reduce shipments due to the tariffs, some goods could become harder to find in U.S. supermarkets and specialty stores.
Speaking in the White House Rose Garden against a backdrop of U.S. flags, Trump imposed even steeper tariffs on China (34%), the European Union (20%), Japan (24%), and other major trade partners. He described the move as part of a broader effort to correct what he called unfair trade practices.
“For decades, our country has been looted, pillaged, raped, and plundered by nations near and far, both friend and foe alike,” Trump declared. “This is Liberation Day.”
The tariffs will take effect immediately, alongside previously announced 25% auto tariffs set to begin at midnight. While Trump promised that the tariffs would bring jobs back to America, critics warn they could lead to price hikes for U.S. consumers and strain relations with key allies.
