Trade relations review

Caribbean governments say a comprehensive review of trade relations and systems with the US has now become necessary in the wake of plans by Washington to tax all imported goods from the region and other countries around the world.

The leaders held extensive discussions on this issue at last week’s heads of government conference in Barbados where the uncertainty and anxieties of the private sector and exporters were looked at following President Trump’s recent announcement that tariffs will be imposed on goods from all countries.

Briefing reporters at the end of the conference, Jamaican Prime Minister Andrew Holness said leaders have agreed for a comprehensive study to be done over the next three months to determine how the region will be affected.

“Many businesses have reached out. The private sector is indeed concerned. I believe that the posture of CARICOM is that we must be prepared.”

Supporting Holness was new CARICOM bloc Chair and Barbadian Prime Minister Mia Mottley. She said plans are being finalized for a high-level meeting with American officials “as soon as practicable” in the coming months to look at a range of issues.

The leaders also said that they will invite Trump to visit the region for a summit meeting in the coming months. Antiguan Prime Minister Gaston Browne said the radical changes in the US linked to its immigration systems and how trade matters will affect the Caribbean are areas of key concern. The region’s trade negotiating machinery will undertake the review.

Antigua’s PM Browne was even more detailed about the situation noting that “we are hoping that we are successful in inviting President Trump to the region. It’s very important for him to pay some attention to the third border of the United States. Caribbean States. Many of us have open economies and we import up to 80% of what we consume primarily from the United States.”

Browne said the region is, as well, very concerned about the roll back of special visa protections for nearly 500,000 Haitians and the effect this could have on a country that is already in turmoil if many are deported back home or forced to leave.

“Already you have what, so many gang members, hundreds of thousands of people on the streets, and if you end up with maybe another 200,000 criminals on the streets of Haiti, it will make the situation more complex. So, that is of serious concern for us, and we’re hoping that even in our subsequent engagements with Rubio and potentially with the president we can ask him to reconsider the impact of such a decision on our Haiti,” he said.”

The US market is of major significance to the region with available figures showing that it is the top trading partner of CARICOM, accounting for over 40 percent of all regional exports. The region also has a fairly large deficit with the US.