Heyliger-Marten Says St. Maarten must stay ready as global pressures build

GREAT BAY--Minister of Tourism, Economic Affairs, Transport and Telecommunication Grisha Heyliger-Marten told Parliament on Wednesday that St. Maarten must remain alert and proactive as rising global trade tensions and geopolitical instability threaten to drive up shipping costs, fuel prices, and the overall cost of living for the country’s people.

Addressing Parliament during a public meeting on the broader economic implications of the U.S.-China trade war and related global tensions, the Minister said the issue has grown far beyond the original tariff dispute between the United States and China. She noted that recent instability in the Middle East, particularly around Iran and the Strait of Hormuz, has added a new and serious layer of concern for import-dependent economies such as St. Maarten.

“When this meeting was originally requested in 2025, the focus of the discussion was primarily on the tariff dispute between the United States and China and the potential implications that such trade tensions could have for the economies around the world, including small island economies such as St. Maarten,” the Minister said. “However, since that time, global developments have continued to evolve.”

Heyliger-Marten explained that global trade tensions are no longer limited to one dispute between two countries, but are now part of a wider shift in the international trade environment. She warned that any instability in key global shipping and energy routes can quickly affect oil prices, transportation costs, supply chains, and ultimately the prices paid by consumers in St. Maarten.

For St. Maarten, where most daily essentials are imported, the Minister said the impact of these developments can be direct and significant. From food and fuel to household goods and building materials, prices on the island are shaped by the full chain of production, logistics, insurance, storage, transportation, and global supply availability.

“This is why developments taking place between major economies, particularly when tariffs, trade tensions or supply chain disruptions occur, can create ripple effects across global markets,” she said. “These disruptions are rarely confined to the countries directly involved. Instead, they move through the global trading system, and eventually small island economies like St. Maarten may feel these impacts.”

The Minister said that while importers and distributors may try to absorb some of these increases, there are limits to how much pressure can be carried before some of the added cost reaches consumers. In such circumstances, government may examine tools such as maximum price controls on certain essential goods, not to reduce global prices, but to strengthen transparency, oversight, and fairness in the marketplace.

Heyliger-Marten stressed that while St. Maarten cannot control global economic shifts, government does have a responsibility to prepare, monitor developments closely, and respond responsibly in the national interest.

As part of that monitoring, the Minister pointed to the latest Consumer Price Index data from the Department of Statistics, which showed that the CPI rose slightly to 115.28 in the fourth quarter of 2025. That represented a 0.16 percent increase over the previous quarter and a 0.442 percent increase compared to the fourth quarter of 2024. Overall inflation for 2025 remained below one percent at approximately 0.92 percent.

Still, the Minister noted that the more detailed data reveals where pressure may already be building. Food and non-alcoholic beverages increased by 2.31 percent between 2024 and 2025, while transportation-related costs also recorded increases during the same period. Those increases were partly offset by declines in housing, water, electricity, gas, and other fuel-related categories.

“What this tells us is that while prices across the economy have remained relatively stable overall, some of the everyday items people rely on most, particularly food and transportation, are already showing signs of upward movement,” she said. “These are also the categories that typically respond first when global shipping costs rise or supply chains experience disruptions.”

The Minister made clear that the government is not waiting passively for the impact of international developments to intensify. She said her ministry has already been meeting with major food importers and shipping companies to better understand how these stakeholders are experiencing growing global pressures.

According to Heyliger-Marten, importers have voiced concern over rising costs and have called for greater transparency in shipping charges, particularly surcharges introduced during periods of international volatility. Shipping companies, meanwhile, have indicated that many of their operating costs, including fuel prices, surcharges, and logistical expenses, are driven by global market conditions beyond their control.

She said these discussions are helping government determine where intervention may be appropriate and where increased transparency is needed to protect the public.

Among the options being explored, she disclosed, is the possible adjustment of excise taxes, a measure governments have considered in the past during periods of global economic pressure. At the same time, the ministry will continue strengthening its monitoring and engagement efforts so both government and the public can better understand how prices are evolving and where potential pressure points are emerging.

The Minister also called on the private sector to act responsibly, urging businesses to ensure that prices reflect real costs and not unnecessary markups. She added that when costs decrease, those reductions should also be passed on to consumers.

“Fair pricing is not only good business practice, it is part of responsible corporate citizenship within our community,” she said.

Heyliger-Marten also spoke candidly about the adjustments that households may have to make if global conditions worsen. She said people may need to be more careful with spending, more selective in their purchases, and more deliberate about how they manage transportation and household expenses.

At the same time, she underscored the need to protect the island’s economic strength, especially tourism, which remains one of the pillars of St. Maarten’s economy and supports thousands of livelihoods.

“We must continue to remain welcoming, hospitable and open to the world even during uncertain global times,” she said. “St. Maarten must continue to be a destination that people want to visit.”

The Minister said that even in times of global uncertainty, St. Maarten must continue to present itself as safe, open, and ready to welcome visitors, while maintaining fairness in the marketplace and supporting local businesses.

Closing her presentation, Heyliger-Marten expressed confidence in the resilience of the people of St. Maarten.

“History has shown time and time again that when challenges arise, the people of St. Maarten adapt, we support one another, and always find a way forward,” she said.

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