NASSAU, BAHAMAS – The top executive of Tropical Shipping is set to testify before Congress in Washington, D.C. next week, underscoring the potentially devastating impact of the Trump administration’s proposed port fees on countries in the region, such as the Bahamas, with Super Value’s President, Rupert Roberts warning that the plan could cause inflation to rise by 25 percent, a situation that must be avoided at all costs.
Tim Martin, President and CEO of Tropical Shipping, speaking with Eyewitness News, confirmed that he will testify before Congress on Monday, March 24th. “I’m going to be testifying in Congress on Monday the 24th. I want to make sure I have the opportunity to really drive home how this will negatively impact not just the Bahamas, but the entire Caribbean. I’m going there to testify on behalf of our company and to express the deep concerns this would create for Mr. Roberts’ business, as well as for everyone else’s business in the Bahamas. This affects everyone, and the cost of goods will increase,” he said.
Rupert Roberts, Super Value’s principal, told Eyewitness News: “That would increase inflation by around 25 percent. We’ve been in touch with Tropical, who have about 19 ships. That could sink the ships and put them out of business. I spoke with the President of Tropical, Tim Martin, and he’s going to Washington to testify before Congress to see if they can get that rescinded. This can’t happen; it would put us out of business. Even the Prime Minister should get involved and do some begging and pleading, just as we had to do to get Tropical to go to Washington and see what they can do about it. It can’t happen. This is like the end of the world. People can’t manage now, so they’ll never be able to manage a 25 percent increase.”
Roberts added: “We’re Tropical’s biggest customer. We’d have to absorb the greater part of a million dollars. Some of Tropical’s ships go into the U.S. three times a week. For us to absorb another couple of million dollars of freight a week, it can’t happen. The freight will cost more than the goods themselves, and then we won’t be able to sell them. Consumers won’t be able to afford them.”
Shipping companies that bring cargo into the Bahamas and the Caribbean are raising concern over the multimillion-dollar threat, as the United States Trade Representative (USTR) proposes a trade action that would impose a $1 million port fee per port call on any Chinese-built vessel arriving at U.S. ports. Tropical Shipping alerted customers to the issue last week in a letter.
President Donald Trump recently told Congress that his administration would “resurrect” the American shipbuilding industry for both commercial and military vessels, and he plans to create “a new office of shipbuilding in the White House.”
The U.S. government began investigating China’s dominance in the shipbuilding industry, where it manufactures as much as 75 percent-80 percent of the global fleet, during the Biden administration. Steep levies on Chinese-made ships arriving at U.S. ports have been proposed, with fees as part of a policy designed to bring more ship manufacturing back to the U.S.
