President Trump’s sweeping tariffs cast a shadow over the African Growth and Opportunity Act (AGOA).
This vital U.S. trade initiative, established in 2000, faces an uncertain future.
Analysts suggest the new tariffs signal a low probability of AGOA’s renewal, set to expire in 2025.
AGOA grants duty-free access to the U.S. market for numerous African exports.
Approximately 35 nations benefit, including South Africa, Kenya, and Ethiopia.
Key sectors like automotive and textiles have thrived under this agreement.
However, many eligible countries have failed to fully utilize AGOA’s potential, with U.S. imports from AGOA nations falling from $82 billion in 2008 to $29.1 billion in 2024.
African nations seek a 10-year extension, but Trump’s protectionist policies pose a significant hurdle.
Officials from South Africa and Madagascar now await clarification on tariff applications.
The fate of AGOA rests on U.S. Congressional decisions and presidential approval.
