Despite AGOA extension uncertainty clouds US-Africa trade future - Xinhua

06 Mar 2026, 12:00 am
Financial Nigeria

Summary

According to Chinese Xinhua, uncertainty about the future of AGOA, the political conditions attached to it, and broader U.S. tariff policies have clouded the programme's outlook.

Kenyan workers preparing clothes for export at the Alltex export processing zone

The United States reauthorised the African Growth and Opportunity Act (AGOA) on 3 February 2026, with the extension due to expire at the end of the year. 

However, according to the Chinese news agency Xinhua, the optimism the reauthorisation brought to African countries seeking to expand exports to the world’s largest market “quickly faded as uncertainty surrounding US policy prompted exporters to hold back on expanding their businesses.”

According to U.S. Trade Representative Jamieson Greer, the extension applies retroactively from 30 September 2025, when the programme expired. Launched in 2000, AGOA provides duty-free treatment for selected products, including textiles, agricultural goods, and vehicles, from designated sub-Saharan African countries. 

According to Xinhua, uncertainty about the future of AGOA, the political conditions attached to it, and broader U.S. tariff policies have, however, clouded the programme's outlook.

The report quoted Straton Habyarimana, a Rwandan economic analyst, as saying that "it will take some time to rebuild trust and for the United States to be seen as a reliable partner" in trade. Other experts said that predictable market access underpins macroeconomic resilience, enabling governments to plan, firms to invest, and workers to build livelihoods with confidence.


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