TORTOLA, British Virgin Islands – The Governor of the neighboring US Virgin Islands (USVI), Albert Bryan Jr has requested an emergency session with his legislature to discuss imposing a 25% tariff on imports from the British Virgin Islands and introducing travel fees for non-residents crossing between the two territories.
According to an article published by the VI Consortium yesterday, the proposal, which aims to address economic imbalances and protect local businesses, was revealed in a letter sent to Senate president Milton Potter.
“This discussion is crucial to ensuring fair trade and economic stability for the U.S. Virgin Islands,” Bryan stated. “For too long, we have experienced economic leakage and inconsistencies in our trade relationship with the BVI. It is time we take decisive action to protect our local industries, generate revenue for essential services, and create a more balanced regulatory framework,” he argued.
The proposed measures include setting tariffs on imported goods from the BVI at 25% or higher and implementing new entry and exit fees for non-residents travelling to and from the U.S. Virgin Islands via the BVI.
The Bryan administration expressed readiness to provide lawmakers with data and impact assessments to support the discussion. Governor Bryan urged the legislature to convene promptly to deliberate on the proposed measures and evaluate their potential impact on businesses, residents, and travelers.
This move comes at a time when global trade tensions have been rising. Recently, the United States introduced reciprocal tariffs to counter protectionist trade policies from countries such as India, the European Union, and Japan.
These measures aimed to protect domestic industries and address trade deficits.
Similarly, U.S. allies such as Canada and the United Kingdom faced potential tariffs on their exports to the U.S., which analysts warned could significantly impact their economies.
The economic relationship between the US Virgin Islands and the BVI has been relatively modest.
According to the U.S. International Trade Commission, US exports to the BVI amounted to approximately $445 million, while imports were about $4 million, resulting in a trade surplus of $441 million in favor of the US.
Governor Bryan’s proposal could also impact cultural and social interactions between the two territories, particularly the annual Friendship Day Celebration. This event symbolizes unity and cooperation between the U.S. Virgin Islands and the BVI. However, with the introduction of tariffs and travel fees, some residents have expressed concerns about the potential strain on cross-border relations.
While the proposal aims to protect local industries and generate government revenue, it also raises questions about the future of economic and cultural ties between the two territories. The BVI government has yet to respond officially to the proposed measures.
