By Jovani Davis (CNW)- Three CARICOM member states are among 60 economies facing new U.S. tariffs under a sweeping trade enforcement initiative launched by the Trump administration, which says the measures are aimed at strengthening enforcement against goods linked to forced labour.
The new tariffs, which took effect Friday after a temporary global tariff expired, affect The Bahamas, Guyana and Trinidad and Tobago. The Dominican Republic is also among the Caribbean countries included in the new regime.
According to the Office of the United States Trade Representative, imports from the affected countries will now face tariffs of either 10% or 12.5%, replacing the temporary global 10% tariff that expired at 12:01 a.m. Friday.
The Bahamas and Guyana will each be subject to a 12.5% tariff on exports to the United States, while Trinidad and Tobago will face a 10% tariff.
The White House said the new tariff framework is designed to reinforce the United States’ ban on imports produced with forced labour and will apply to more than 95% of imports from what it described as 60 key U.S. trading partners.
The measures were imposed under Sections 301(b) and 304(a) of the Trade Act of 1974 following investigations by the Office of the United States Trade Representative, which concluded that certain trade practices in the affected economies warranted action.
According to the USTR, countries that have implemented or committed to implementing prohibitions on imports produced with forced labour through an Agreement on Reciprocal Trade generally received a 10% tariff. However, some economies were assigned higher rates based on the findings of individual Section 301 investigations.
For The Bahamas, the USTR said it reviewed the investigation, public comments, testimony and recommendations from advisory committees before determining that a 12.5% tariff was appropriate. Guyana was assigned the same rate, while Trinidad and Tobago received the baseline 10% tariff.
The USTR said tariffs ranging from 10% to 12.5% were considered “appropriate and feasible” to address the trade practices identified during the investigations. It said alternatives, including lower tariff rates, negotiations without tariffs and action under other legal authorities, were considered but ultimately rejected.
The Office of the Prime Minister in The Bahamas said the government was reviewing the potential impact of the tariffs on local exporters.
“The government is aware of the announced tariff adjustment and is reviewing its potential impact on Bahamian exporters,” said Senator Latrae Rahming, director of communications in the Office of the Prime Minister.
“We are engaging our United States counterparts to seek clarification and to ensure that recent legislative measures taken by The Bahamas are fully considered,” Rahming added.
He said The Bahamas remained committed to its longstanding economic relationship with the United States and would continue working toward “a fair resolution that protects Bahamian businesses and maintains the strong trade relationship between our countries.”
The latest action marks another use of Section 301 of the Trade Act as a U.S. trade enforcement tool, allowing Washington to impose tariffs on countries it determines are engaging in unfair trade practices. The Trump administration said the measures form part of a broader effort to tighten global supply chain standards and discourage the use of forced labour in international commerce.
