The Caribbean Basin Initiative (CBI) is the collective name for two U.S. unilateral trade preference programs benefiting Caribbean and Central American countries:
- CBERA — Caribbean Basin Economic Recovery Act (1983, Pub. L. 98-67), as amended
- CBTPA — Caribbean Basin Trade Partnership Act (2000, expanded apparel benefits)
The CBI was originally launched by President Reagan in 1983 to support economic development and political stability in the Caribbean Basin. Many of its original beneficiaries are now also parties to CAFTA-DR, which gradually displaces CBI preferences with reciprocal FTA treatment.
Current beneficiary countries (post-CAFTA-DR transitions):
- Bahamas, Barbados, Belize, British Virgin Islands, Curaçao, Guyana, Haiti (also covered by HOPE/HELP), Jamaica, Montserrat, Saint Kitts and Nevis, Saint Lucia, Saint Vincent and the Grenadines, Trinidad and Tobago
Coverage. Most industrial and agricultural goods enter duty-free if 35% local value-add (substantial transformation plus content) is met. CBTPA additionally provides preferential treatment for apparel that meets specific yarn-forward and fabric rules — mirroring AGOA for the African region.
Claims are filed using the "E," "E*" (CBERA) or "R" (CBTPA) Special Program Indicators on CBP Form 7501.