VIRGIN ISLANDS

VIRGIN ISLANDS. The Virgin Islands of the United States, formerly known as the Danish West Indies, are located fifty miles east of the island of Puerto Rico in the Caribbean Sea. Their 108,612 inhabitants (2000 census) live primarily on St. Croix, St. Thomas, and St. John, the largest of the sixty-eight islands composing the archipelago.

Before their acquisition by the United States, the islands belonged to the kingdom of Denmark, the ruling power since 1754. American interest in the islands can be dated much earlier than their acquisition in 1917. During the Civil War, Secretary of State William H. Seward, who wanted to secure naval bases for the defense of the American coastline and U.S. interests in the Caribbean, and prepare for the control of major maritime routes to Central and Latin America, made the first official openings to Denmark over a possible purchase.

Because of internal difficulties in Denmark and the declining economy of the islands, Danish authorities—represented by their minister to the United States, General von Raasloff—opened negotiations leading to a treaty of purchase (for $7.5 million), which was signed on 24 October 1867. In spite of a favorable plebiscite and a speedy ratification by the Danish Parliament, Secretary Seward failed to secure the support of Congress and public opinion.

A chain of circumstances led to the treaty's defeat: a natural disaster in St. John; the 1868 impeachment of President Andrew Johnson; and debate on the treaty to purchase Alaska. Furthermore, public opinion was against foreign expansion in the context of Reconstruction and westward expansion. The treaty languished in the Senate and was eventually rejected in 1869.

Subsequent efforts to purchase the islands were led by Secretary of State John Hay in 1902, who was suspicious of German schemes to obtain naval bases in the Caribbean. However, the Danish were no longer willing to cede the islands, hoping to benefit from the forthcoming isthmian canal.

During World War I, growing concern over German expansionism in Central America prompted Secretary of State Robert Lansing to reopen negotiations. A treaty was signed on 4 August 1916 and ratifications were exchanged on 17 January 1917. After a favorable plebiscite in the islands and the payment of $25 million, the transfer became effective on 31 March 1917. Virgin Islanders were made American citizens in 1927. During World War II, St. Thomas was developed as a defense base, along with Water Island.

After a period of administration by the Department of the Navy, the islands were turned over to the Office of Insular Affairs in the Interior Department in 1931, where it remained until 1971. As an organized, unincorporated territory of the United States, the islands were given a limited form of self-government by the Organic Act of 1936. Their degree of self-rule was enhanced by the Revised Organic Act of 1954, which gave legislative power to a unicameral legislature of fifteen popularly elected senators, and by the Elective Governor Act of 1968, which provided for the election of the governor.

The economy of the islands is largely founded on tourism, with two million visitors a year. While the agricultural sector is small, the manufacturing sector is flourishing. However, the islands are subject to substantial damage from storms and other natural hazards. Their trading partners are almost exclusively the mainland United States and Puerto Rico.

The purchase of the Virgin Islands can be considered as an important step in the consolidation of American hegemony over Cuba, Puerto Rico, and Panama. It thereby helped to assure U.S. geopolitical security and economic prosperity.

BIBLIOGRAPHY

Dookhan, Isaac. A History of the Virgin Islands of the United States. Kingston, Jamaica: Canoe Press, 1994.

Pedersen, Erik Overgaard. The Attempted Sale of the Danish West Indies to the United States of America, 1865–1870. Frankfurt, Germany: Haag und Herchen, 1997.

Tansill, Charles Callan. The Purchase of the Danish West Indies. Baltimore: Johns Hopkins Press, 1932. The most complete study to date.

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See alsoCaribbean Policy ; Imperialism ; Navy, United States .