Tariff Tensions Rise: Guyana Pushes for Dialogue with Trump Administration

Guyana open to negotiating new reciprocal tariffs with US 

The announcement of a 38% reciprocal tariff on exports from Guyana by the U.S. administration has significant implications for the trade relationship between the two countries. 

The U.S. under President Donald J. Trump imposed reciprocal tariffs on imports from approximately 90 nations, including Guyana, in an effort to address trade deficits. This policy targets countries that export more to the U.S. than they import from it.

Vice President Dr. Jagdeo following the announcement highlighted a notable discrepancy in trade data. The U.S. reported that Guyana had a $4.1 billion trade surplus in 2024, while Guyana's data indicated only an $800 million surplus. This discrepancy is significant for calculating tariffs.

 The substantial trade surplus is primarily driven by oil exports, which have surged since 2020. ExxonMobil and Hess Corporation, both major U.S. companies, are heavily involved in Guyana's oil sector, suggesting that outcomes of tariffs might also influence U.S. corporate interests.

Dr. Jagdeo who once served as Finance Minister expressed optimism about engaging with the U.S. to resolve discrepancies in trade data and potentially reduce tariffs. He emphasised the need for further dialogue to clarify these numbers, arguing that the U.S. should recognize that Guyana imports significantly more from the U.S. than reported.

 Meanwhile, the PPP/C government is committed to protecting local businesses and jobs while maintaining strong diplomatic and trade relations with the U.S, to this end, Vice President Jagdeo assured that the government would facilitate access to U.S. markets for local enterprises.

Unfortunately now, this Trump Administration decision is being politicised by opposition parties in Guyana, but Dr. Jagdeo clarified that the tariff policy is a broader U.S. initiative affecting multiple countries globally.

However, this government remains willing to engage with the U.S with the goal of coming to more favorable trade terms for Guyana.