CHTA Urges Change in U.S. Port Fees for Caribbean

The Caribbean Hotel and Tourism Association is calling for a reexamination of U.S. port service fees and tariffs, arguing that the proposed measures could harm the mutually beneficial relationship between the Caribbean and the United States. In a formal submission to the U.S. Trade Representative, the association warned that the new rule—which would impose service fees of up to $1.5 million for each port call by vessels built or flagged in China—combined with additional tariffs, would raise import costs. These increased costs would ultimately be passed on to travelers, affecting both cruise guests and stayover visitors who are integral to the region’s economic success.

Tourism remains a powerful economic engine for the Caribbean, benefiting both the region and key markets like Florida. According to the World Travel and Tourism Council, tourism in the Caribbean generated $91.2 billion in 2024 and supported more than 2.9 million jobs. With roughly 68 million visitors arriving last year, the region’s hospitality sector has become a critical partner in fostering reciprocal trade and travel with the United States. The Caribbean Hotel and Tourism Association emphasizes that each stayover visitor generates an estimated $944 in direct and indirect U.S. imports, amounting to around $6.2 billion in U.S. exports to CARICOM countries. Even cruise passengers contribute significantly, adding about $23 each in indirect import value, which translates to roughly $0.3 billion in total U.S. exports.

In its submission, the association, in collaboration with the CARICOM Private Sector Organization and regional shipping stakeholders, advocates for fee exemptions for Caribbean states and safeguards for smaller shipping operators who depend on modest transshipment ports. The proposed exemptions would cover numerous Caribbean states, including Anguilla, Antigua and Barbuda, Aruba, The Bahamas, Barbados, Belize, Bermuda, Bonaire, the British Virgin Islands, Guyana, the Cayman Islands, Curaçao, Dominica, the Dominican Republic, Grenada, Guadeloupe, Haiti, Jamaica, Sint Maarten, St. Barthélemy, St. Kitts and Nevis, St. Lucia, St. Martin, St. Vincent and the Grenadines, Suriname, Trinidad and Tobago, and Turks and Caicos. The association warns that imposing high port fees and tariffs could undermine the region’s recovery, as many tourism-related businesses are still emerging from the pandemic’s impacts.

CHTA President Sanovnik Destang noted that the region was beginning to see light at the end of the tunnel with tourism businesses recovering, despite the lingering challenges of high operational costs driven by inflation over the past five years. He stressed that one-third of tourism-related businesses reported a net loss in 2024, a trend that could be exacerbated by additional financial burdens from the proposed port fees. Destang expressed hope that the U.S. government would consider the long-standing benefits of a vibrant Caribbean tourism industry, which supports free enterprise, mutual trade, and a shared commitment to democratic values. He argued that a collaborative approach to revising port policies would help protect the reciprocal benefits enjoyed by both the Caribbean and the United States.

The association’s recommendations aim to preserve the dynamic relationship between the two regions while fostering continued growth in tourism and trade. With robust economic and cultural ties already in place, CHTA is urging policymakers to adopt measures that maintain affordable operations and safeguard the future of an industry that is vital to the prosperity of both the Caribbean and key U.S. markets.

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