Recent History
Ironically, US independence and the signing of a peace treaty between the US and Britain in 1783 allowed the former American colonies to establish more direct trade routes and bypass Statia altogether, thus marking the territory's slow decline that continues to this day. Statia remains well off the beaten path of travellers - though not of hurricanes. Hurricane Georges caused extensive damage (but luckily no fatalities) on the island in 1998.
Statia had been a municipality of the Netherlands Antilles along with Bonaire, Curacao, Saba and Sint Maarten since 1954. A 2004 commission of the governments of the Netherlands Antilles suggested revising a statute that would dissolve the Netherlands Antilles. Statia adopted a new flag on Statia Day that year, but in 2005 voted to remain part of the Netherlands. As a result, Bonaire, Saba and St Eustatius will from 2007 have a similar status to Dutch municipalities, including the right to vote in elections.
Modern Day History
Rather inadvertently, the Netherlands became the first foreign country to recognise the American colonies' Declaration of Independence when a Statian ship returned a cannon salute to the passing American war brig Andrew Doria. Unfortunately for Statia, another American vessel went on to capture a British ship in nearby waters, prompting the British to attack Statia, ransack the warehouses, exile the island's merchants and auction off their goods. The Dutch regained possession of the island a few years later but the British invasion marked the end of Statia's predominance as a trade centre.
Pre 20th Century History
The Caribs called the island Alo, which means cashew tree, while Columbus named the island after St Anastasia. Although the French began construction of a fort in 1629, the first permanent settlement wasn't established until the Dutch routed the French in 1636. Statia subsequently changed hands 22 times between the Dutch, French and British.
In the 18th century, as the British and French buried their colonies in taxes and duties, the Dutch turned Statia into a duty-free port. As a result, West Indian and north American colonies were able to circumvent duties by shipping goods via Statia, which boomed into a thriving entrepôt (port) and a major trade centre between the Old and New Worlds. During its heyday in the 1770s, as many as 300 trading ships pulled into port each month and the island's population swelled to 20,000. The resulting prosperity earned Statia the nickname 'Golden Rock of the Caribbean'.
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