Heard and McDonald Islands, along with Norfolk Island, face significant tariffs despite limited economic activity.
In a surprising move, US President
Donald Trump has announced a 10 percent tariff on the uninhabited Heard and McDonald Islands, located approximately 4,000 kilometers southwest of Perth, Australia.
These islands, which are part of Australia's external territories, are home to the country's only active volcanoes and are primarily visited by scientists studying the local wildlife, including penguins and seals.
The president's announcement came during what has been dubbed 'Liberation Day,' which included several other Australian territories in the tariff reach, such as Cocos and Christmas Islands, also subjected to a 10 percent tariff.
Australian officials, including Prime Minister Anthony Albanese, expressed surprise at the imposition of tariffs on Norfolk Island, where around 2,200 residents live.
The island reportedly recorded exports valued at approximately $411,000 in leather shoes in 2023, but federal officials indicated that there were no known exports from Norfolk Island to the United States.
Prime Minister Albanese commented on the situation, remarking on the unusual nature of Norfolk Island being considered a trade competitor with the United States due to its minimal economic activity.
Residents of Norfolk Island, such as Jesse Schiller and Rachel Evans, reacted with amusement rather than concern.
Schiller noted the improbability of having a manufacturing sector on such a small island, while Evans mentioned the potential publicity boost for the island's tourism industry resulting from the unexpected attention.
Norfolk Island's Administrator, George Plant, voiced the confusion experienced by the local population regarding the tariff proposals.
David Smith, the local representative in the Australian Parliament, expressed surprise at the differential tariff structure, especially given Norfolk Island's historical connections with the United States, which includes American whalers stopping at the island during 19th-century voyages.
The situation has not been isolated to Australian territories.
The Falkland Islands, a UK territory, face a 41 percent tariff, while Svalbard and Jan Mayen in Norway are also facing a 10 percent tariff.
This tariff approach by the United States has raised questions about its global implications and the rationale behind targeting islands with limited economic activity.
The Australian Antarctic Division confirmed there are currently no permanent residents on Heard and McDonald Islands, highlighting the rarity of significant trade activity from these territories.
The peculiar nature of the tariffs reflects broader trends in international trade policies under the current US administration.