Making Sense of U.S. Tariffs: What Trinidad and Tobago Needs to Know in 2025 — and How to Save

Home Making Sense of U.S. Tariffs: What Trinidad and Tobago Needs to Know in 2025 — and How to Save

By Kendell Robley, Managing /Partner Director & Lead Tax Consultant Andersen in
T&T


In April 2025, the U.S. introduced reciprocal tariffs on over 180 countries, with rates between
10%–50%. Thankfully, Trinidad and Tobago, along with most of CARICOM (excluding
Guyana), secured the lowest 10% rate. While this softens the impact, local businesses must
still plan for cost increases and tax implications.

U.S.-T&T Trade Snapshot


The U.S. remains T&T’s largest trading partner, with TT$42 billion in bilateral trade. Major
exports like petroleum and natural gas are exempt from new tariffs. However, non-energy
exports will face higher costs, potentially affecting supply chains and pricing.
Major Shipping Win for the Caribbean
In a major victory, Caribbean shipping was exempted from hefty U.S. port fees on China-
built vessels. Thanks to lobbying by CARICOM leaders and the CPSO, shipping costs
between the U.S. and the Caribbean will remain stable—helping avoid inflation and supply
shortages.


VAT and Luxury Goods


Expect tighter VAT enforcement on luxury items like high-end electronics, designer goods,
and luxury vehicles. Businesses should review their import practices to avoid unexpected
costs and penalties.


Impact on Import Duties


New tariffs may make U.S. imports less competitive. Businesses should consider sourcing
from CARICOM, Latin America, or Asia, and review customs classifications closely.
5 Strategies to Save in 2025

  1. Review Customs Valuations: Ensure accurate HS code classification.
  2. Use Incentives: Apply for Free Zones and manufacturing concessions.
  3. Maximize VAT Credits: Keep clear records to capture all eligible VAT refunds.
  4. Leverage CARICOM Exemptions: Import regionally where possible.
  5. Time Imports Strategically: Plan large shipments before fiscal changes.

Final Thoughts
Trinidad and Tobago has escaped the worst of the new U.S. tariffs, but smart tax planning
and trade strategy are more important than ever. By staying proactive, local businesses can
protect margins and find new opportunities even in a changing global market.