U.S. imposes tariffs on uninhabited Antarctic Islands in latest trade move

In a surprising escalation of the ongoing global trade war, President Donald Trump announced on Wednesday that the United States is imposing reciprocal tariffs on a collection of remote Antarctic territories, including the uninhabited Heard and McDonald Islands. The announcement, made during a press conference, is part of a broader strategy to assert U.S. economic dominance, though the inclusion of these isolated, wildlife-rich islands has sparked confusion and criticism.


The Heard and McDonald Islands, located in the Southern Ocean and accessible only by sea, are home to penguins, elephant seals, and seabirds but have no human population or notable trade activity. Spanning approximately 37,000 hectares—slightly larger than Philadelphia—the islands feature rugged terrain, glaciers, and an active volcano on Heard Island . Designated a UNESCO World Heritage Site in 1997, they are managed by the Australian Antarctic Division, which focuses on environmental preservation and research into climate change and wildlife.


As per reports, during the press conference, Trump used a poster to highlight the targeted regions, while aides distributed sheets detailing the tariffs. One sheet claimed the Heard and McDonald Islands impose a 10 percent tariff on U.S. goods, citing "currency manipulation and trade barriers" in fine print. In response, the U.S. will levy a matching 10 percent tariff on the islands. However, with no economy or exports, the islands’ inclusion raises questions about the policy’s intent and feasibility.

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Australia, which has claimed the islands as its territory since 1953 under the Antarctic Treaty, also saw tariffs applied to other regions. Christmas and Cocos Keeling Islands face a 10% tariff, while Norfolk Island was hit with a 29% rate. The Antarctic Treaty, signed by multiple nations to promote peaceful use and scientific cooperation, does not recognize territorial ownership of Antarctic land, though Australia maintains its claim and oversees a marine reserve around the islands, expanded in 2023 to quadruple its size.


The Australian Defense Force monitors the surrounding waters as part of Operation Resolute, covering 200 nautical miles from Australia’s mainland and roughly 10% of the world’s surface. The operation addresses security threats like piracy and pollution, while the islands occasionally host research vessels, commercial fishing boats, and rare tourist expeditions.

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If reports were to go by, experts have questioned the move’s alignment with international norms. Elizabeth Buchanan, a polar geopolitics expert at the Australian Strategic Policy Institute, told WIRED, "One could argue this is in breach of the international Antarctic spirit." The White House did not respond to requests for comment, and the Australian Antarctic Division referred inquiries to the Department of Foreign Affairs and Trade, which also remained silent before publication.


The Heard and McDonald Islands’ isolation and lack of economic activity make them an unusual target in a trade war.