Papua New Guinea (PNG) can absorb the United States (U.S) imposed 10% Tariff on local exports without affecting the economy says Foreign Affairs Minister, Justin Tkatchenko.
In an interview with PNG HAUSBUNG on Monday, Minister Tkatchenko said that when it comes to other countries like Fiji, they got over 30% Tariff and people are asking why Fiji was slapped with so much. It is because Fiji export more to the U.S.A especially their Fiji water and other commodities that they send over to the U.S market.
“The U.S are saying that countries like Fiji need to have more tariff (30%) placed on their export products to the U.S because these products are not U.S produced.
But as for Papua New Guinea, we will work with the United States and the new Trump administration to ensure it is a win-win situation at the end of the day.
We are currently implementing the Defense Corporation Agreement (DCA) which is a multi-million-dollar investment into Papua New Guinea and some announcement on that infrastructure development and programs and projects will be announced very shortly in a joint press conference and announcement with the U.S and PNG on how the DCA is now rolling out and the awarding of contracts for different purposes for the security and economic benefit of PNG,” Minister Tkatchenko said.
He acknowledges the 10% Tariff imposed by the U.S, but he feels that it can be absorbed as per the information given by the Treasury Department and Finance Department.
“I believe the 10% Tariff will not harm or downgrade PNG’s relationship with the US as they are a very important economic and security partner and I look forward to working with them and come to compromise, working together, communicating, talking and understanding what the issues are and if there is an issue that the US would like more information on or do more with, we will have an open door policy,” he said.
Minister Tkatchenko said he looks forward to the continued relationship with the U.S and building it up from all sectors from economic trade and especially security and defense.