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Marshall Islands

US Revised Tariffs (%)

10

Ease of doing business

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Share of US Imports % (1 implies <1%)
US Tariff %
Revised Tariff %
Country Tariff Rate %
1
10
10
0
Exports (in USD Bill.) 2024
Imports (in USD Bill.) 2024
Balance (in USD Bill.) 2024
0.13
0.02
0.11

US Revised Tariffs

Country Tariffs

Balance of Trade

Commercial Guide

Learn about the market conditions, opportunities, regulations, and business conditions in countries, prepared by U.S. Embassies worldwide, Commerce Department, State Department and other U.S. agencies’ professionals

Trade.Gov Fact Sheet

Tariff Rate for US

World Bank staff estimates using the World Integrated Trade Solution system, based on tariff data from the United Nations Conference on Trade and Development's Trade Analysis and Information System ( TRAINS ) database and global imports data from the United Nations Statistics Division's Comtrade database.

US Imports Guide 

United States Imports from Countries during 2024, according to the United Nations COMTRADE database on international trade. United States Imports from Countries- data, historical chart and statistics - was last updated on April of 2025.

Implications

As of today, Sunday, April 20, 2025, the most recent tariff update concerning the Marshall Islands is that they are subject to a 10% baseline tariff imposed by the United States. This tariff went into effect on April 5, 2025, as part of a broader "reciprocal tariff" policy announced by the Trump administration.   Here's a more detailed breakdown: 10% "Reciprocal Tariff": Despite the unique relationship between the United States and the Marshall Islands under the Compact of Free Association (COFA), the Marshall Islands were included in the U.S.'s new tariff regime. This means a 10% tariff is levied on goods imported from the Marshall Islands into the United States.   Compact of Free Association (COFA): The COFA grants the U.S. full authority and responsibility for the security and defense of the Marshall Islands. It also outlines specific tariff arrangements. While some goods like tuna (up to a certain threshold), watches, buttons, and clothing are not duty-free under the COFA, the imposition of a blanket "reciprocal tariff" has raised questions. Rationale for the Tariff: The U.S. administration's rationale for the "reciprocal tariffs" is reportedly linked to the difference in exports relative to imports (net exports) adjusted for exchange rates. In 2024, U.S. imports from the Marshall Islands totaled approximately $23.19 million, mainly consisting of fish. This is significantly less than U.S. exports to the Marshall Islands.   "Reciprocal" Aspect Questioned: The term "reciprocal" suggests that the Marshall Islands impose a 10% tariff on goods from the United States. However, reports indicate that the Marshall Islands' average tariff on U.S. agricultural goods is around 4.5%. This discrepancy makes the "reciprocal" label unclear. Economic Impact on Marshall Islands: The direct impact of this 10% tariff on the Marshall Islands might be relatively limited in the short term, as their exports to the U.S. constitute a smaller portion of their GDP compared to some other Pacific nations. However, key exports like fish could face increased costs, potentially affecting Marshallese producers.   Broader Global Impact: The larger concern for the Marshall Islands, as with other Pacific nations, is the indirect impact of a potential global recession triggered by widespread trade wars. This could lead to reduced tourism, lower remittances, and decreased tuna prices, all of which are important for the Marshallese economy. In summary, the Marshall Islands are currently subject to a 10% tariff on their exports to the United States as part of the recent U.S. tariff policy. This has occurred despite the special relationship between the two countries under the Compact of Free Association, and the "reciprocal" nature of the tariff is debatable. While the direct economic impact on the Marshall Islands might be moderate, the potential for a broader global economic downturn poses a more significant threat.

US Negotiation Strategy

Based on available trade data, the top imports to the US from the Marshall Islands are: Non-fillet Fresh Fish: This is consistently the highest value import. Fish Fillets: Frozen fish fillets are also a significant import. Live Fish: This category also appears in the top imports. Leather Footwear: While lower in value than fish, it's still a notable import. It's important to note that the overall value of imports from the Marshall Islands to the US is relatively small compared to major trading partners. Regarding which states in the US can manufacture the same types of goods, here's a breakdown with examples of companies: Non-fillet Fresh Fish, Fish Fillets, Live Fish: Alaska: Alaska has a massive fishing industry. Companies like Trident Seafoods, Peter Pan Seafoods, and numerous smaller independent fishing operations and processors handle fresh, frozen, and live fish. However, catcher-sellers in Alaska are typically not permitted to do any filleting or butchering at sea. Processing usually happens on shore.   Washington: Another major fishing state with companies like Icicle Seafoods and Ocean Gold Seafoods involved in catching and processing various types of fish.   Massachusetts: Has a historical and ongoing fishing industry, particularly in the Gloucester and New Bedford areas, with many seafood processors and distributors.   California: While perhaps not as large as Alaska or Washington, California also has commercial fishing and aquaculture operations. Leather Footwear: The US footwear manufacturing industry has significantly declined over the decades due to globalization. However, some companies still manufacture footwear domestically, including leather products, often focusing on specialized or high-end markets. Maine: Companies like Rancourt & Co. and Highlander Shoe Company produce handcrafted leather shoes and boots in the USA.   Massachusetts: New Balance has some of its athletic footwear manufactured in the US, including leather components. Missouri: Red Wing Shoe Company manufactures durable leather work boots in the USA.   Texas: Some smaller manufacturers specialize in custom leather boots.   It's crucial to understand that while these US states and companies can manufacture similar types of goods, the scale of production, specific species of fish, types of leather, and styles of footwear might differ significantly from the imports coming from the Marshall Islands. Additionally, labor costs and other economic factors often make imported goods more price-competitive in the US market.

Investing in USA

theboardiQ Economic Relevance Score, ranks States of USA based on 11 parameters

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Sources : Forbes | USDA Economic Research | TCGen Total Innovation Rank Index | Best States for Manufacturing | World Population Review | Tax Foundation | US News | BEA Data | Wikipedia | International Trade Administration

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theboardiQ's Economic Relevance Score provides a comprehensive, data-driven assessment of a nation's economic vitality and global significance. This score is meticulously calculated using 11 key parameters, each reflecting a critical facet of economic performance. It analyzes the representation of Fortune 500 companies within a nation, a strong indicator of its business environment and market size. The balance of trade surplus or deficit reveals the nation's international competitiveness and export strength. It incorporates Gross Domestic Product (GDP), a fundamental measure of overall economic output, and examine the health of key sectors like agriculture and manufacturing. The score also accounts for innovation, gauging a nation's ability to drive future growth through technological advancements. Crucial labor market indicators such as employment rates are considered, alongside fiscal policies reflected in tax rates. To capture the lived experience of citizens, it assesses cost of living and disposable income, providing insight into purchasing power and economic well-being. Finally, education levels are integrated, recognizing their pivotal role in fostering a skilled workforce and driving long-term economic development. By synthesizing these 11 parameters, theboardiQ's Economic Relevance Score delivers a nuanced and holistic view of a nation's economic standing, enabling informed strategic decisions. The Top 5 States in the assessment are Texas, North Carolina, Virginia, Florida and Washington. Texas does consistently well across most of the 11 variables especially in the areas of GDP, F500 representation in the State, Balance of Trade where it ranks 2nd nationally. North Carolina scores as the highest-ranking state nationally in manufacturing and performs consistently across the other variables. Virginia does well in disposable income where it ranks 3rd nationally. It also scores high in the variables of manufacturing and employment Florida holds the 4th ranking nationally for GDP and Tax Washington State scores the top spot for disposable income nationally, 2nd for education and 3rd for innovation. Colorado, with an overall rank of 7 scores the top spot for Education (schools and higher education). Nebraska, that ranked 10th overall, did well in Agriculture where it is ranked 3rd nationally as well as Trade Balance where it ranked 5th. Illinois, though ranked 20th overall did well nationally in F500 representation, GDP, Agriculture, and Disposable Income. Pennsylvania comes in at 21 overall doing well nationally in GDP (6th); Manufacturing (8th) and F500 representation (8th) New York scores 23rd overall with a 2 ranking in Disposable Income nationally, as well as 3rd in both F500 representation and GDP. California comes in at 29th overall and has the top spot ranking in a whopping 4 variables nationally – GDP, Innovation, Agriculture and F500 representation. However, performance in the areas of Trade Balance, Cost of Living, Tax, Manufacturing and Employment resulted in the overall ranking dipping. Wyoming at 30th overall scores the top spot nationally in the area of Tax Massachusetts at 31 overall does well in innovation where it is ranked 2nd nationally Arkansas at 36 and Alabama at 39, do well in overall Cost of Living where they are ranked 2nd and 3rd nationally, respectively. Louisiana ranked 44th overall is ranked 1st in Trade Balance nationally.

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