NASSAU, BAHAMAS- The Bahamas will face a 10 percent tariff on all goods exported to the U.S. under sweeping new trade measures announced by U.S. President Donald Trump.
The policy, which takes effect on April 5, imposes a baseline 10 percent tariff on imports from more than 100 countries, including several Caribbean nations. Trinidad and Tobago, Haiti, Jamaica, Barbados, and Antigua and Barbuda will all be subject to the same 10 percent rate when exporting to the U.S.
Trump says the policy is meant to counter what he describes as unfair trade practices, claiming the U.S. has been disadvantaged for decades. While most countries will face the baseline tariff, others will see significantly higher rates. China’s total tariff burden will rise to 54 percent when combined with existing duties. The European Union will face a 20 percent tariff, while goods from Japan and India will be taxed at 24 percent and 26 percent, respectively.
The economic implications of this move on The Bahamas remain to be seen. The U.S. is the country’s largest trading partner in terms of imports, however, the added costs could make Bahamian exports less competitive in the American market.
Trump has framed the tariffs as a step toward “economic independence,” arguing that other nations impose similar barriers on U.S. exports. However, analysts warn that the move could disrupt global trade and lead to slower economic growth. The announcement sent shockwaves through financial markets, with major American companies like Apple, Amazon, and Walmart seeing sharp declines in after-hours trading.
The new policy marks a dramatic shift in U.S. trade relations, moving away from decades of free trade policies.
The Office of the Prime Minister in a statement on the move noted: “The Government of The Bahamas has taken note of the announcement by U.S. President Donald Trump to impose a 10 percent reciprocal tariff on several Caribbean countries, including The Bahamas, that export duty-free to the United States under the Caribbean Basin Initiative (CBI). It is important to note that The Bahamas currently maintains a trade deficit with the United States.”
The statement continued: “We will engage with our U.S. counterparts and work collectively with our CARICOM partners in response to this development. The Government has approved a National Trade Policy aimed at diversifying trade. As part of our broader strategy to protect the Bahamian economy, we have already announced a number of measures, including the development of a trade diversification framework. We remain focused on minimizing the impact of global trade decisions on Bahamian businesses and consumers.”
