U.S. Virgin Islands (USVI) Governor Albert Bryan Jr. has called for an emergency legislative session to discuss imposing a 25% tariff on imports from the British Virgin Islands (BVI) and introducing new travel fees for non-residents crossing between the two territories.
According to the VI Consortium, the proposal was outlined in a letter to Senate President Milton Potter and is aimed at addressing economic imbalances and protecting local businesses.
“This discussion is crucial to ensuring fair trade and economic stability for the U.S. Virgin Islands,” Governor Bryan stated. “For too long, we have experienced economic leakage and inconsistencies in our trade relationship with the BVI. It is time we take decisive action to protect our local industries, generate revenue for essential services, and create a more balanced regulatory framework.”
The proposed measures include setting tariffs of 25% or higher on imported goods from the BVI and implementing entry and exit fees for non-residents traveling between the territories. The Bryan administration has offered to provide lawmakers with data and impact assessments to support discussions.
The move comes amid growing global trade tensions, with the U.S. recently imposing reciprocal tariffs on countries such as India, the EU, and Japan. Similar policies have affected U.S. allies like Canada and the United Kingdom, raising concerns over economic impacts.
While the trade relationship between the USVI and the BVI is relatively modest—U.S. exports to the BVI were valued at approximately $445 million, compared to just $4 million in imports—the proposal could have broader social implications. The annual Friendship Day Celebration, which highlights unity between the two territories, may be impacted by the new trade and travel restrictions.
As the USVI legislature prepares to review the proposal, concerns are mounting about its potential effects on businesses, travelers, and cultural ties. The BVI government has not yet issued an official response.
