US Trade Deal with Haiti 8-5-25

In 2025, the US Congress is considering extending the Haiti Economic Lift Program (HELP) Act, which provides duty-free treatment for certain Haitian apparel exports to the US. This program, along with the Haitian Hemispheric Opportunity through Partnership Encouragement Act (HOPE), is set to expire on September 30, 2025. If not extended, this could negatively impact Haiti's textile industry, which is heavily reliant on these trade preferences.  

Key Points:

Expiration: The HOPE and HELP programs, crucial for Haiti's apparel industry, are scheduled to expire on September 30, 2025. 

Importance to Haiti: These programs are vital for Haiti's economy, particularly the textile and apparel sector, which accounts for a large portion of its exports and employment. 

Congressional Action: Legislation, such as H.R. 1625 (Haiti Economic Lift Program Extension Act of 2025), has been introduced to extend these trade preferences. 

Potential Impact: Failure to extend these programs could lead to job losses, reduced export revenue, and further economic instability in Haiti. 

US Policy: The US has a vested interest in Haiti's stability and economic development, and these trade preferences are seen as a key tool for supporting Haiti's recovery. 

Challenges: Haiti faces significant challenges, including political instability, gang violence, and a fragile security situation, which complicate the situation for its textile industry and the implementation of trade preferences. 

us trade deal with haiti 2025

Based on the provided information, the US maintains several trade preferences and programs with Haiti in 2025. Here's a summary of the situation:

·       Key Trade Agreements/Programs:

o   Caribbean Basin Initiative (CBI): This initiative provides duty-free access to the US market for a wide range of goods from Haiti, aiming to promote economic development. It includes programs like the Caribbean Basin Economic Recovery Act (CBERA) and the Caribbean Basin Trade Partnership Act (CBTPA).

o   HOPE and HELP Acts: These Haiti-specific programs, including HOPE I, HOPE II, and the Haiti Economic Lift Program (HELP) Act, offer expanded trade benefits and preferential tariff treatment for certain Haitian products, particularly textiles and apparel. These preferences are scheduled to expire on September 30, 2025.

o   Generalized System of Preferences (GSP): Haiti, as a least-developed beneficiary developing country, benefits from the GSP program, which provides duty-free treatment for a vast array of Haitian products entering the US market.

·       Trade Preferences and Tariffs in 2025:

o   As of early 2025, a 10% baseline tariff was imposed on imports from nearly all US trading partners, including Haiti, as part of a new trade policy. Higher, country-specific reciprocal tariffs, ranging from 11% to 50%, were also announced but paused until July 9, 2025, to allow for negotiations of new bilateral trade agreements.

o   The Haiti Economic Lift Program Extension Act of 2025, introduced in February 2025, seeks to extend the special duty-free rules for various apparel products imported from Haiti through FY2035.

·       Impact of Political and Security Situation:

o   The ongoing political and security challenges in Haiti have impacted trade. Gang activity, for instance, has led to a reduction in supply chains and negatively affected the apparel industry, which is a major employer in Haiti.

·       Looking Ahead:

o   The potential expiration of the HOPE/HELP trade preferences in September 2025 is a concern for the Haitian apparel industry and its economy. The continuation of these programs is deemed crucial for job creation and economic stability in Haiti.

o   The US Congress is actively discussing the renewal of these trade preference programs, including HOPE/HELP and AGOA (African Growth and Opportunity Act), which are set to expire in 2025. A bill introduced in December 2023 sought to reauthorize the HOPE and HELP Acts until 2035.

o   The US Trade Representative (USTR) is conducting a biennial review of CBI country eligibility, including Haiti, and is requesting comments to inform its report to Congress by December 31, 2025. 

In summary, while Haiti benefits from various US trade preferences and programs, including the CBI, HOPE, HELP, and GSP, the future of some key benefits, particularly those under HOPE and HELP, is uncertain as they are set to expire in September 2025. Discussions regarding their renewal are underway in Congress. Additionally, the recent imposition of tariffs and the ongoing instability in Haiti pose challenges to the country's trade and economic recovery. 

https://www.google.com/search?q=us+trade+deal+with+haiti+2025

In May 2025, the United States had a positive trade balance with Haiti, with exports exceeding imports by $85.4 million. Specifically, the US exported $134 million and imported $48.9 million worth of goods from Haiti. This represents a slight increase in US exports to Haiti and a notable decrease in imports from Haiti compared to the same period in the previous year. 

https://www.google.com/search?q=haiti+trade+balance+with+us+2025

The French effectively left Haiti in 1803, after the Battle of Vertières, which led to the end of French control over the colony. Formal independence was declared on January 1, 1804, with Jean-Jacques Dessalines proclaiming the new nation "Haiti”.

https://www.google.com/search?q=when+did+france+abandon+haiti

Haiti's nominal GDP in 2025 is projected to be $33.55 billion USD. In 2025, Haiti's nominal per capita GDP is estimated to be $2,670 USD. The population of Haiti in 2025 is estimated to be around 11.9 million. The unemployment rate in Haiti is projected to be 14.80% by the end of 2025. The US exports $134M to Haiti while importing $48.9M. 

Comments

Haiti has been a “failed state” since 1804.  Its national health system is Voodoo.

Norb Leahy, Dunwoody GA Tea Party Leader