Tweet

Basseterre, St. Kitts – Prime Minister Dr. Terrance Drew has highlighted the staggering trade deficit between Saint Kitts and Nevis and the United States—a financial gap that has now been further widened by Washington’s controversial new 10 percent tariff on Caribbean imports.

Speaking during The Roundtable on April 2, PM Drew expressed deep concern over the unbalanced trade relationship, arguing that the new tariffs will only worsen economic hardships for small island nations.

“The United States benefits much more from trading with the Caribbean region than the Caribbean region does with the United States of America,” declared Dr. Drew. “Unlike other regions which have a surplus with the United States in terms of trade, such as Canada and Mexico, we have a deficit.”

A Deficit in the BILLIONS!

The numbers paint a grim picture. According to figures from the Comptroller of Customs, in 2024 alone, Saint Kitts and Nevis imported a staggering $754 million EC dollars worth of goods from the U.S., while exports to the U.S. barely reached $23.9 million EC dollars. This means Saint Kitts and Nevis runs a trade deficit of nearly three-quarters of a billion dollars!

And this crisis is not just limited to the twin-island federation. PM Drew revealed that the entire CARICOM region is burdened with a $54 BILLION trade deficit with the United States, a figure that underscores the Caribbean’s economic challenges.

U.S. Tariffs: A Blow to Small Island Economies

With such an already devastating trade imbalance, the recent U.S. decision to impose a 10 percent tariff on imports from Saint Kitts and Nevis and other Caribbean nations is being seen as an unfair burden on the region. PM Drew made it clear that this move will only serve to drive up the cost of living for already struggling citizens.

“Saint Kitts and Nevis has a strong case to make when it comes to tariffs,” PM Drew insisted. “The evidence shows that we don’t deserve these tariffs, which could increase the cost of living for our people.”

The Prime Minister’s statement is a call to action for CARICOM nations, as he warned that these tariffs could have crippling consequences on Caribbean economies, making basic goods even more expensive for citizens already grappling with inflation.

A Fight for Fair Trade

The issue of trade fairness is now in the spotlight, with PM Drew urging for a more balanced and just trade relationship with the U.S. As Caribbean nations brace for the economic impact of these tariffs, all eyes are now on Washington’s next move.

Will the United States reconsider this punishing policy, or will the Caribbean be forced to push back against the growing trade challenges?

One thing is certain—Saint Kitts and Nevis will continue to advocate for fair trade and economic justice.