President Luis Abinader is optimistic the 10% tariff levied on the Dominican Republic may be removed. The “reciprocal” tax was levied as part of the global Liberation Day tariffs list announced by US President Donald Trump on 2 April 2025.
“We have started bilateral contacts in that sense,” President Abinader explained during his weekly Monday La Semanal press conference He said Minister of Foreign Relations Roberto Alvarez has been in touch with high US government officials. “We have requested a meeting with the Department of Commerce to deal with the issue at a bilateral level. We expect to have a response in upcoming weeks,” said the President.
The accreditation this week of the Dominican Republic’s new ambassador to the US, Maria Isabel Castillo Baez will make matters more smooth. Castillo Baez presents credentials in Washington, D.C. on Wednesday, 9 April 2025. Previously, she was the Dominican ambassador in Mexico.
President Abinader commented during the press conference that the 10% tariff levied on the Dominican Republic is the lowest level of the tariffs on the new Liberation Day list. “We understand we should be exempt from this tax with these bilateral contacts,” said the President. The United States has kept a trade surplus with the Dominican Republic for the duration of the free trade agreement in effect between both countries (DR-CAFTA).
Speaking during the press conference, Foreign Minister Roberto Alvarez said that on Friday, 4 April 2025, he received a call from the special envoy to Latin America of the Trump administration, Mauricio Claver-Carone who highlighted the DR had received the minimum tariff and this could become an advantage for the country. The tariffs will go into effect on Wednesday, 9 April 2025. The DR seeks to attract more businesses seeking to take advantage of nearshoring. The tariffs place the DR at a major advantage with countries in Asia.
Alvarez said he has also recently spoken with US Deputy Secretary of State Chris Landau to address how the Dominican Republic understands that the tariff is unfair because over the past ten years, from 2015 to 2024, the US has had a trade surplus in the overall trade exchange between both countries of US$152 billion. He said he told the US official that the United States is at advantage with the DR. “He said that the DR position would be considered. We are hoping to have a response,” Alvarez said during the press conference. He added: “There is an opportunity for DR because there can be production units can relocate to the Dominican Republic. That is work we will have to follow up.”
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La Semanal 7 April 2025
8 April 2025