As of Saturday, April 19, 2025, here's an update on tariffs related to the Bahamas: 1. United States Tariffs on the Bahamas: 10% Baseline Tariff: As part of a broader tariff announcement around April 2, 2025, the United States imposed a 10% baseline tariff on imports from numerous countries, including the Bahamas. This tariff is intended to apply to most goods.   No "Reciprocal Tariffs": The Bahamas was not among the countries initially targeted with higher "reciprocal tariffs" by the United States, which were primarily aimed at nations with significant trade surpluses with the U.S. These higher tariffs have also been paused for most countries, but they never applied to the Bahamas in the first place. Existing Trade Benefits: The Bahamas benefits from certain trade agreements and initiatives with the United States, such as the Caribbean Basin Initiative (CBI). These provide some preferential access to the U.S. market for certain Bahamian goods. These benefits likely continue alongside the new baseline tariff, meaning some goods might still enter the U.S. duty-free or at reduced rates under the CBI, while others are subject to the new 10% tariff.   End of De Minimis: While the end of de minimis (duty-free entry for low-value shipments) specifically targeted China and Hong Kong, it's worth noting that this U.S. policy change, effective May 2, 2025, could indirectly affect Bahamian businesses that utilize low-value shipments through those territories. 2. Bahamas' Own Tariffs (Import Duties): Revenue Generation: The Bahamian government relies heavily on import tariffs for revenue, with approximately 60% of its total revenue derived from these duties. Variable Rates: The Bahamas does not have a flat tariff rate. Import duties vary significantly based on the type of goods, ranging from 0% to as high as 220%. The average tariff rate is around 19% to 30%.   Value Added Tax (VAT): In addition to import duties, a 10% Value Added Tax (VAT) is applied to the landed cost of imported goods (which includes the value of the goods, duty, processing fees, environmental levies, etc.). Other Fees: Importers also need to account for a customs processing fee (1%), environmental levies (ranging from $1 to $500 or a percentage of the landed cost), and potentially storage fees. Duty-Free Items: Some items are duty-free in the Bahamas, such as baby clothing, computers, books, and medicine. However, these may still be subject to VAT, processing fees, and environmental levies. Higher Rates: Higher tariff rates are typically applied to items like alcohol, luxury goods, tobacco, and goods that compete directly with locally produced items. For example, auto parts can have a 60% duty rate. Key Takeaways: The Bahamas is now subject to a 10% baseline tariff on most of its exports to the United States. However, existing preferential trade arrangements under CBI may still provide duty-free or reduced rates for some goods. The Bahamas itself has a complex system of import duties ranging from 0% to 220%, with an average around 19-30%, plus a 10% VAT and other fees on imported goods.   Businesses trading with the Bahamas need to consider both the new U.S. tariffs and the Bahamas' own import duty and tax regime to accurately calculate costs and navigate trade. It is advisable to consult the official websites of the U.S. Customs and Border Protection and the Bahamas Customs Department for the most specific and up-to-date information.