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TRADE WARS
U.S. President Donald Trump has declared that today is “Liberation Day” and that the U.S. will impose a minimum baseline of 10% tariffs on goods imported from all foreign countries, as well as higher, “reciprocal” tariffs on nations that impose tariffs on U.S. exports.
The 10% worldwide tariffs take effect April 5 at 12:01 a.m., and the higher reciprocal tariffs go into effect on April 9 at 12:01 a.m.
Countries that will see “discounted reciprocal rates” include China at a rate of 34%, (although the U.S. already imposes tariffs on China); 20% on goods from the European Union; 32% on Taiwan; 25% on South Korea and 17% on Israel. Countries that will see only the baseline 10% tariff rates include: Guatemala, Honduras, Argentina, El Salvador, Ecuador, Egypt, Saudi Arabia, Australia and the United Kingdom.
Canada and Mexico are not subject to these tariffs for now, but have already seen other tariffs imposed. In addition to the economic hit from the tariffs, the impact on cross-border travel between the U.S. and Canada has seen plummeting numbers all month, and now OAG has issued an overview of the impact on air traffic between the two neighboring countries. See page 1.
On a brighter note, OAG recently issued a report on how air traffic is recovering five years after COVID-19 caused a global shutdown. The tracking agency created a very interesting chart that summarizes the results. Page 2.
AT THE POINT OF SALE: INAUGURAL DFA FESTIVAL
Bringing wonderful colors, great excitement and an amazing promotion in partnership with Visa to travelers, Duty Free Americas has launched the first DFA Festival, a dynamic travel retail event, at its airport stores in Tocumen Panama and Punta Cana in the Dominican Republic. The Festival will run through May of this year, and DFA says that it has plans to expand it to its 250+ store network in the Americas next year. Story begins on page 1.
CRUISE
One of the most anticipated cruise ship launches in the Americas is just days away, when MSC Cruises new MSC World America will arrive at the state-of-the-art MSC Terminal in Miami – the largest cruise ship terminal in the world – and celebrate its official naming on April 9. In addition, MSC has revealed that the new flagship will offer more than 1,000 sqm of modern shopping space, spread over nine boutiques. See details on pages 3 & 4.
Nassau Cruise Port has broken another one-day record, welcoming more than 30,500 visitors in a single day, and the port operators say they anticipate 6.5 million cruisers this year—up 15% from 2024. Page 4.
PEOPLE & COMPANY NEWS
Industry veteran David Ferreira joins Costa Coffee to lead U.S. travel retail expansion. Page 5.
International men’s fashion brand Antony Morato, based in Milan, Italy, has appointed Javier Brandwain as its new Chief Commercial Officer, where he will focus on expansion and travel retail. Page 5.
Marcos Zobel has joined luxury watch group Citizen to oversee the Frederique Constant and Alpina Geneve brands in LATAM, the Caribbean and travel retail. Page 5.
Long-time E. Gluck executive Rob Robertaccio has launched a new travel retail/global distribution consultancy – International & Travel Retail Consultants (ITRC). Page 6.
Brandzstorm and ITRC join forces to introduce Lee Cooper eyewear to duty free and travel retail. Page 6
Marcolin and Max Mara renew eyewear license. Page 6
IN THE TMI SPOTLIGHT: BEAUTY
Tairo brings the Sabrina Carpenter fragrances to Mexico and the Caribbean. Page 7
Molton Brown partners with Harding+ for cruise ship pop-up activations. Page 7.
