New US tariffs unlikely to impact Maldives' fish exports

President Donald Trump has announced new tariffs on imports, with many countries now facing higher duties. Under the new policy, the Maldives falls into a general category that imposes a 10% tariff on goods exported to the United States.

The Maldives exports fish, including chilled and live fish, to the United States. Customs data indicates that in 2024, fish exports to the US were valued at MVR 8.9 million ($573,947), compared to MVR 27.8 million ($1.89 million) in 2023. Over the past five years, fish exports to the US have totalled MVR 115 million ($7.5 million).

Despite the newly announced tariffs, industry experts say there will be no additional impact on Maldivian fish exports. Hussain Afeef, Commercial Director of Ensis Fisheries, stated that the US already imposes a 10% duty on Maldivian fish, and the new policy does not increase this rate.

"We export whole fish with the neck and head intact. The tariff will remain the same, so there will be no change for Maldivian exporters," Afeef said.

Hussain Shareef, Chairman of Ocean Hunter Fisheries, also confirmed that Maldivian fish has been subject to the 10% duty for years, and the new tariff policy does not change the existing rate.

While tariffs on Maldivian fish remain unchanged, some competing countries face increased rates. For instance, Sri Lanka's export tariff to the US has risen from 12% to 44%. Afeef noted that this could lead to higher prices for fish from competing countries, creating an opportunity for Maldivian fish to strengthen its position in the US market.

"If we maintain quality, there is potential for Maldivian fish to gain a stronger foothold in the market," Afeef said.

Increased tariffs have also been imposed on fish exports from Canada, Thailand, and Vietnam, some of the largest suppliers to the US market. This may lead to a decrease in fish exports from those countries.

Sharif highlighted that while the European market has lower tariffs for some competing nations, the US market presents an opportunity for Maldivian fish due to its relatively lower tariff rates compared to competitors.

Maldivian fish exports to the US have declined in recent years. Afeef attributed this to quality concerns, particularly following disruptions caused by the pandemic. Factors affecting quality include:

Shareef stated that Maldivian fisheries should focus on catching bigeye tuna for the US market. He suggested that longline fishing should be regulated and implemented through structured policies.

"If we can maintain quality, this could be an opportunity for us," Sharif said.