PNG to review impact of U.S. tariffs on exports

Papua New Guinea was not exempt from the additional tariffs on its exports imposed by the executive order of U.S. President Donald Trump.

PNG and Solomon Islands were slapped with 10 percent tariffs, while the other Melanesian countries of Fiji, 32 percent, and Vanuatu, 22 percent.

Papua New Guinea's main exports to the United States - vanilla, gold, coffee, and cocoa beans will now be subject to an additional 10 percent tariff.

And Waigani has made it known, a clear pathway and decision will be made after a review into the export tariffs charged on PNG goods entering the U.S market is concluded.

Minister for International Trade and Investment Richard Maru says that Papua New Guinea will not rush into taking any decisions on its future trade and investment relationship with the US, after Australia, New Zealand, and Fiji openly reacted against the imposition.

“For PNG, we will not react until we understand and fully appreciate the impact of this imposition on our country. We will first undertake a full review of the impact that the U.S tariff is going to have on our goods that we export to the U.S and how it will affect companies that do business with the U.S, especially companies like Air Niugini, who buy a lot of aircraft parts from the U.S."

He also adds that they are to report back to the National Executive Council within the next three weeks, with the full assessment on whether this tariff is going to affect PNG or allow the country to do business with other countries.

Minister Maru further adds that according to the United Nations COMTRADE database on international trade, the U.S is a very small trading partner to PNG, compared to China, Japan and Australia, in terms of direct import and export, and they only import about 80 point 9 million US Dollars, or about 329 point 8 million kina in imports from PNG in 2024.