Elizabeth Morgan | Other CARICOM Heads meet with the US Secretary of State

On Tuesday, May 6, it was reported that the Heads of Government of the Eastern Caribbean States and the Bahamas met with US Secretary of State, Marco Rubio, in Washington, DC. This meeting does not seem to have received much media coverage here.

In March, the Secretary of State visited Jamaica, Guyana and Suriname. While in Jamaica, he also met with the Prime Ministers of Barbados and Trinidad and Tobago as well as the interim head of Haiti. This meeting was referenced in this column on March 5 in the article titled “Is a CARICOM Meeting with the Trump Administration Imminent?” The visit, March 26-27, was assessed as having gone well. President Donald Trump had not then unveiled his tariffs on the world’s countries, including those in the CARICOM region.

Between April 2-9, the Trump Administration imposed a 10 per cent tariff on all CARICOM countries, overriding the US Caribbean Basin Initiative (CBI), which gave unilateral, non-reciprocal duty-free access to the US market for most imports from the CARICOM region. A 38 per cent reciprocal tariff was imposed on Guyana, but has been suspended for 90 days up to July. In addition, the region was under the threat of having additional tariffs imposed on countries which imported oil from Venezuela and the impact of sanctions imposed on Chinese ships.

Marco Rubio has now met with or spoken to 14 of the 15 CARICOM members, not under the CARICOM banner, but in different bilateral and plurilateral type meetings.

He called Prime Minister John Briceño of Belize on April 28 to congratulate him on being returned to office in the general elections on March 12 and to discuss other matters in US/Belize relations.

THE MAY 6 MEETING

Secretary of State Rubio hosted Prime Ministers Ralph Gonsalves of Saint Vincent and the Grenadines, Roosevelt Skerrit of Dominica, Gaston Browne of Antigua and Barbuda, Philip Davis of The Bahamas, Philip J. Pierre of Saint Lucia, Dickon Mitchell of Grenada, and Terrance Drew of Saint Kitts and Nevis.

Reports on this meeting indicate that the focus was on security cooperation (gun crimes), immigration (deportation), trade (imbalances), narcotics trafficking, disaster management, Haiti, Cuban medical personnel, and the role of China in the region.

On relations with the People’s Republic of China, it should be recalled that several CARICOM countries still have diplomatic relations with the Republic of China known also as Taiwan or Chinese Taipei. These are: Belize, Haiti, Saint Kitts and Nevis, Saint Lucia, and Saint Vincent and the Grenadines. Antigua and Barbuda, the Bahamas, Dominica, and Grenada.

On trade and tariffs, it seems that the US trade surplus with the countries was raised and the 10 per cent tariff mentioned. It seems the concern was that the price of imports would increase.

There should also be concern about the impact on their exports. The Eastern Caribbean countries attending this meeting, in 2024, collectively exported to the USA US$78 million in goods and imported from the USA US$2.13 billion. The US’ trade surplus is quite large. The Bahamas, in 2024, exported to the USA goods valued at US$1.8 billion and imported US$6 billion. For Belize, 2024 goods exports were valued US$24 million and imports were US$590.4 million. This trade imbalance is very clear. The USA has a significant surplus. The Eastern Caribbean States and the Bahamas, small island developing states, are service economies dependent on tourism.

It seems that the Heads of Government stuck to the regional script in their discussions with the Secretary of State and endeavoured to steer clear of controversy. This meeting, it seems, was an icebreaker to facilitate future engagements. It is seen as a positive development that Secretary Rubio, in his first 100 days on the job, has been in contact with the leaders of nearly all CARICOM members. Trinidad and Tobago, following general elections on April 28, now have a new Prime Minister,Kamla Persad-Bissessar. It is assumed that Secretary Rubio will also make direct contact.

CARICOM COORDINATION

Coordination seems to have had an effect. CARICOM countries have been meeting regularly to discuss and coordinate positions. The heads of government, under the chairmanship of Barbados, have been meeting since their formal session in February. Jamaica, it should be noted, will assume the chair of the CARICOM Conference of Heads of Government in July.

The Council for Foreign and Community Relations (COFCOR) has also been meeting regularly. The formal ministerial meeting was held May 8-9 chaired by St. Kitts and Nevis. It is assumed that this meeting was briefed on the May 6 meeting in Washington DC as well as on the March visit to the region, and that the ministers considered the way forward.

The Council for Trade and Economic Development (COTED) is scheduled to meet in June. US tariffs and other threatened economic sanctions should be on this agenda.

It is assumed that the various Councils and Committees have been examining the policy changes coming out of the USA and preparing for these and other regional and international meetings on the schedule.

Although there is a case to be made for the USA to remove its tariff imposed on CARICOM countries, it appears that the regional strategy is to err on the side of caution and play the long game.

Elizabeth Morgan is a specialist in international trade policy and international politics. Send feedback to columns@gleanerjm.com.