The REASON You Charge a 29% Tariff on an Island with No Exports, Explained

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Why would the United States impose a 29% tariff on an island of 2,100 people with no exports? I'm talking, of course, about Norfolk Island, caught between New Zealand and Australia, that has become a discussion topic around here. Let's examine this a bit, so that it is more...digestible. First, let's consider this; Norfolk Island is an island of IMPORTS. In other words, what they use there mostly comes from other countries who make things. A lot of that stuff comes from the United States. How much does Norfolk Island charge the United States for stuff they buy from us? 58%. That's right, there is a 58% tariff on all U.S. goods sold to Norfolk Island. Still, if Norfolk Island doesn't export anything, what's the point of putting a tariff on stuff they don't have, even one at HALF the cost they are expecting us to pay to them? Avoiding future loopholes. Not to say a large number of corporations might find a small island to be an attractive place to one day set up shop and build a factory or two. But some MIGHT. If they could start making stuff in Norfolk Island and ship to the United States duty free, that creates a loophole. Think of it this way. Why is it that one of the tiniest states in the United States is home to such a very large number of companies in terms of where they are incorporated? I'm talking about Delaware with a population of just 1 million people. It's because Delaware has the most favorable terms regarding incorporation. Doesn't matter if your corporate headquarters is in Texas, if you can incorporate in Delaware, you get more favorable terms. Imposing a tariff on Norfolk Island BEFORE they start potentially exporting things closes a future potential loophole some people might decide they want to take advantage of, INCLUDING Norfolk Island themselves who MIGHT decide to advertise their special "duty-free" access to the United States and market themselves as a place to do business. The decision to impose a 29% tariff on a small island with no imports is to ensure fairness, and to consider the future potential of being a special tiny island that gets a free pass if it changes its mind.