Amid fears of rising prices linked to sweeping United States tariffs that took effect this week, the Virgin Islands government is working to strengthen economic ties with the Dominican Republic, according to VI Special Envoy Benito Wheatley.
To that end, Mr. Wheatley met recently with Olaya Dotel Caraballo, the Dominican Republic vice minister of international cooperation, in the margins of regional meetings at the United Nations Economic Commission for Latin America and the Caribbean (UN ECLAC) in Santiago, Chile.
During the talks, the pair explored potential collaboration in areas including regional transportation, shipping, trade, agriculture and development, according to a press release issued last Thursday by Mr. Wheatley.
US tariffs
VI leaders hope that a closer relationship with the Dominican Republic could help the territory weather an economic storm brewing to the north.
On Tuesday, US President Donald Trump made good on his threat to impose tariffs on the US’ three largest trading partners, hitting Mexican and Canadian imports with 25-percent duties and doubling a tariff imposed last month on China to 20 percent.
All three countries retaliated with tariffs of their own, and the US stock market tumbled in response to the burgeoning trade war.
Mr. Trump has promised that the tariffs will put “America first,” but his critics claim they will push up US prices and fuel inflation.
Here, Premier Natalio “Sowande” Wheatley and business leaders have warned that any price increases in the US would have a knock-on effect here in the VI.
Long history
Such matters were top of mind during the recent meeting between the VI special envoy and the Dominican Republic minister.
“I was pleased to make initial contact with Vice Minister Caraballo to deliver on the mandate given by [the premier] to his senior team to begin outreach to our Dominican partners on deepening economic cooperation between the British Virgin Islands and Dominican Republic as we take steps to diversify our trade to help mitigate the impact of global inflation on food prices locally,” the special envoy said.
Mr. Wheatley and Ms. Caraballo also discussed the longstanding historical ties between the VI and the Dominican Republic, which include familial connections and other shared heritage.
Additionally, Mr. Wheatley thanked Ms. Caraballo for the Dominican Republic’s advocacy for small island developing states at regional and international forums as part of efforts to encourage the global community to help them respond to climate change and external economic shocks.
In turn, he pledged that the VI will continue to work with the Dominican Republic on promoting sustainable development and climate resilience in the Caribbean.
‘Official dialogue’
Also during the talks, Mr. Wheatley and Ms. Caraballo agreed to follow up with senior leaders back home on establishing an “official dialogue” between their governments on economic cooperation, development cooperation, cultural exchange, and celebration of shared heritage, according to the press release.
The VI and Dominican Republic both currently serve as vice chairs of UN ECLAC under the chairmanship of Peru.
They plan to work together to support Peru and ECLAC on advancing sustainable development and economic and social improvements in Latin America and the Caribbean, the release stated.