6 days Ago By Janelle Cowo
On Wednesday, April 9th, the United States announced a 90-day pause on the newly implemented reciprocal tariffs rates , which included a 10% tariff on imports from various trade partners, including Belize . President Donald Trump’s administration clarified that China would not receive any exemptions and is facing steeper tariff rates of up to 125%. Meanwhile, the Government of Belize (GOB) has consulted with stakeholders regarding the U.
S. tariff policy. President Trump stated that the pause resulted from discussions with Commerce Secretary Howard Lutnick and Treasury Secretary Scott Bessent.
This decision is viewed as a strategic shift to encourage future trade agreements. Trump mentioned that more than 75 countries have reached out to his government for negotiations. The Belize Embassy in Washington, D.
C., has engaged with high-level government officials to discuss the situation further. In a press release dated April 3rd, Belize’s Ministry of Foreign Affairs emphasized the importance of duty-free access to the U.
S. market under the Caribbean Basin Initiative established in 1983. The GOB also indicated that the imposition of a 10% tariff could negatively impact key export interests.
However, after careful analysis, the ministry noted that the broad application of the 10% tariff on all U.S. trading partners might mitigate the potential harm to Belize.
With the three-month break, GOB is currently assessing the potential impacts of the tariffs on trade relations and economic activity. The government is collaborating with the private sector to address this situation and to develop effective risk management strategies that serve Belize’s economic interests. One approach is to utilize all available political and diplomatic channels, including those with members of the Caribbean Community (CARICOM).
Barbados Prime Minister Mia Mottley, who is also the Chair of CARICOM, has expressed concerns about the economic repercussions of the reciprocal tariffs imposed by the US government. She indicated that these tariffs, primarily targeting Chinese imports, could significantly disrupt supply chains and lead to a noticeable increase in the cost of everyday goods in the Caribbean. Mottley emphasized that the region’s heavy reliance on imported goods from the US makes it particularly vulnerable to global trade disruptions.
During a meeting on April 8th, the Honorable Francis Fonseca, Minister of Foreign Affairs, Foreign Trade, Culture and Immigration, and the Honorable Marconi Leal, Minister of State for Foreign Trade, discussed the immediate and long-term challenges that tariffs pose for Belize’s export sectors. According to reports from the meeting, participants expressed serious concerns about rising costs, particularly considering recent expansions in the U.S.
market, trade disruptions, and competitiveness issues. They specifically highlighted the increase in costs due to uncertainties surrounding shipping. Stakeholders at the meeting expressed a willingness to explore diversification strategies but emphasized the urgent need for government support to reduce the cost of doing business in Belize.
Fonseca committed to bringing these concerns to the Cabinet while stressing the importance of unity and strategic planning in addressing this new challenge. “Belize’s future lies in our ability to adapt, to collaborate, and to safeguard the gains we have worked so hard to build. In the face of shifting global dynamics, we must be agile.
We must be strategic. And we must, above all, stand together, he said.”.
