CTL Boss uncertain about price hikes amid US tariffs
The Managing Director of Clarence Thomas Ltd (CTL), Michael Thomas, has alerted consumers to anticipate increased prices on goods following the recent tariffs imposed by US President Donald Trump.
Speaking with ZBVI Radio, Thomas emphasised that Caribbean nations, including the BVI, are set to experience economic shifts due to these tariffs.
These developments come in the wake of President Trump’s announcement on April 2, 2025, of a 10% baseline tariff on all imports to the United States, with significantly higher rates for specific countries, including a cumulative 54% tariff on Chinese goods. This move has sparked global economic concerns, with analysts warning of potential recessions and increased consumer costs worldwide.
Thomas said he has been in discussions with suppliers who predict no significant changes for the next three weeks. However, he expressed concern over the taxation of shipping companies operating Chinese vessels through US ports. The US administration has mandated that these vessels pay a $1 million fee to access their ports. Thomas noted that Tropical Shipping, a longstanding service provider to the region and the BVI, will likely face increased freight charges.
“And those costs will be passed back on to the consumers. And that’s the one thing I want everybody to understand. We’re doing what we can. I’m not going to go about increasing prices or stuff like that in the inventory. But any product that’s coming in new for sure, and we move quite a bit of containers in every year, those numbers will be affected in some way, shape or form once the prices start going up,” Thomas said.
When asked about potential measures to mitigate the impact on consumers, Thomas indicated that price adjustments are inevitable once costs rise. He explained that CTL only alters prices when their purchasing costs change and the anticipated increase in freight charges will necessitate price hikes.
“No, I think that’s just going to happen automatically once the numbers start changing. We’ve never changed our prices at CTL unless our actual buying prices change,” Thomas added.
Thomas estimated that it currently costs around $5,000 to $6,000 to ship a 40-foot container, depending on volume and pricing agreements. However, proposed tariffs could add another $2,000 to $3,000 per container, potentially raising the total shipping cost to about $9,000. This would significantly increase the freight portion of the container’s value—from a previous 5–10 per cent to as much as 20–30 per cent—costs that would ultimately have to be passed on to consumers.
“Yeah, I’m saying in the next probably two, within the next month, month and a half, we don’t know. And, you know, that’s kind of what my vendors are telling me, you know, like guys, all soon as it’s going to take effect, all soon as we see the changes, we’re right now we got inventory, we can’t tell you what’s going to happen in the next few months. So you’re going to have to give this thing a chance to kind of like settle in and see exactly what happens.” he said.
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There is no ifs and or buts about it.If you are running a business, all prices is going to go up. No use in blaming the business owners. Was in the US last week a very popular store name DOLLAR TREE where everything in the store was a dollar, everything is now a dollar twenty five.
That was my store everything I go to the US to visit my sister. I wish they had a dollar tree in the BVI.
they trying to bring back slavery just in a different form. Thats what make America great again means. inflation was already killing everybody then they was like you know what lets add tariffs on top of it. next thing you know you bussing your tail working hard every day and can still just barely afford to put little piece of bread in your mouth just to stay alive so you can work hard some more tomorrow.
Yes, the Trump Tarrifs are cruel and make little sense, but to equate them with slavery is asinine.
….What he didn’t say is because our government has such an archaic duty system, the duties will increase greatly as well since it’s not only a tax on the cost of goods being imported, but includes insurance and freight costs as well. Instead of passing legislation in the HOA to address these issues, they are in there arguing about stupidness and pretending to care about the people. The cost of living is crazy and they are doing nothing about it.
Instead they come talking about taxing tobacco products harder instead of trying to do anything to address the ridiculously high cost of living in the bvi. They like they don’t even want to raise minimum wage. They done give themselves raise and fat pension so they out of touch with the struggles of regular citizens.
You are on point , I believe that many of the factor that contribute to the high cost of living in the BVI is the administrative cost assocated with getting ANY business done and navigating governmental policies and procedures. The sad part is that technology has made many of the practices obselete and unwarranted but they presist.
for importing foreign goods into the BVI need to be brought into operation ASAP. The reliance on Tropical Shipping to ship containers from the USA to the BVI will wane due to these new tariffs.
What I will tell the consumer is this. If these guys planing this tactic to up prices on we, only buy what is needed and start traveling to shop. It will be cheaper in the long run.
These guys already have prices jacked high and using this price entitlement mind set as if they must make this amount. Economics does not work that way. You should be negotiating with government a 10% subsidiary plan so that the consumer don’t feel the direct pressure. Government already taxing the people so you as a business man must submit your proposal on how they can approach this and find a way around ayo opportunistic nonsense. It’s just like gas, all over the place the gas is low but in BVI it is sky rocket high.
Businesses are already taking a proactive approach by buying from other countries. Ayo acting as if without Anerica we can’t survive. Pure BS talk CTL!
@ wake up ayo. Boy you some kind of conspiracy theorist and obviously not a frickin businessman.
Where is the Sl*man who promise to to us since last month about our increase for minimum wage
I have been stacking up dry goods and water in the extra room of my home for weeks. My neighbor came over last night and she was damn you got a grocery store in your home. I did this to avoid having to go to the store for at least a good 2 months. Rather than using my extra money on things I want I invest my extra money in things that I need for every day survival because I knew this was coming.
BVI prices should already reflect these anticipated changes. After all, there were multiple price increases last year and earlier this year in anticipation of the minimum wage adjustment that ultimately didn’t materialize. Given that, we should be good.(LOL)
Stop buying goods from the US.
Tropical Shipping President and CEO Tim Martin testified, in Washington D.C., on Monday before the U.S. Trade Representative (USTR) that the proposed tariffs would severely affect American-owned shipping companies as well as U.S. exporters and Caribbean businesses that ship with Tropical. The proposed tariffs include a flat $1 million port fee on Chinese-built vessels entering U.S. ports. “The U.S. shipping industry serving the Caribbean cannot absorb the additional costs of the proposed port fees, which would have significant economic consequences,” Martin testified. “Instead of strengthening American competitiveness, these port fees would push American-owned carriers like Tropical out of business.”
Tropical Shipping operates out of the Port of Palm Beach, Fla., and nine of its 19 vessels were built in China up to 25 years ago. Martin asked the USTR to exempt American-owned and headquartered vessel operators from proposed fees and to apply the tariffs on future ships built in China, but not on fleets that are already in service.
Tola going push more drugs now ?