Political reporter Joshua Nevett revealed that the Falkland Islands had been blindsided by the implementation of steep tariffs by US President Donald Trump, who identified them as one of the “worst offenders” on his list. Teslyn Barkman, responsible for trade in the Falklands’ parliament, expressed concern about the 42% tax that would affect the territory’s economy, largely reliant on fish exports to the EU and US. Despite this setback, Barkman emphasized that the Falklands government intended to maintain an amicable relationship with the US and would not retaliate with tariffs of their own.
The Falkland Islands found themselves among eight other nations or territories designated as “worst offenders” by President Trump, resulting in higher tariff rates set to take effect soon. Barkman admitted to being taken aback by the attention from a global power like the US towards the small archipelago in the South Atlantic Ocean, home to a population of approximately 3,600 people. With fishing constituting 60% of the territory’s GDP, Barkman described the Falklands as a community managing a country, emphasizing the significant impact of trade exports on their economy.
According to data from the Observatory of Economic Complexity (OEC), in 2023, the Falklands exported $27.4m (£21.2m) worth of goods, primarily frozen fish, to the US, while the US only exported $329,000 (£255,000) to the Falklands. In response to the imposed tariffs, Liberal Democrat leader Sir Ed Davey urged UK Prime Minister to engage with Falklands Governor Alison Blake to discuss the repercussions. He insisted that the UK should consider the Falkland Islands’ interests in its trade negotiations with the US, likening Trump’s trade war to a significant threat comparable to Argentina’s invasion.
Barkman acknowledged the puzzlement surrounding the reasons for the high tariffs imposed by the US and emphasized the Falklands’ commitment to supporting the UK and its Western allies. She highlighted the importance of understanding the tariff calculation methodology and expressed a desire to cultivate a positive relationship with the US. Additionally, Barkman noted the significant role tourism played in the Falklands’ economy, particularly with American visitors drawn to witness the region’s renowned penguins. Collaborating with the UK government to explore avenues for reducing or eliminating the US tariff, Barkman also highlighted the pressing need to address EU tariffs on fish exports from the Falklands. Foreign Office Minister Stephen Doughty was reported to have engaged with a member of the Falkland Islands Legislative Assembly to address the situation further
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