The US extended a trade deal giving African countries duty-free access to the American market, though prolonging it for just a year put exporters in a tough spot. The African Growth and Opportunity Act has been a key force in driving African exports to the US since it was first implemented in 2000, though it has also expanded Washington’s trade deficit with the continent. AGOA expired in September, leaving hundreds of thousands of jobs at risk as uncertainty brewed over its renewal. The Trump administration’s imposition of hefty tariffs on African imports last year, as part of an overhaul of its global trade policy, added to the precarity. While AGOA “consistently contributed” to US goals, including boosting access to critical minerals, the 12-month extension — rather than the usual multi-…
The US extended a trade deal giving African countries duty-free access to the American market, though prolonging it for just a year put exporters in a tough spot. The African Growth and Opportunity Act has been a key force in driving African exports to the US since it was first implemented in 2000, though it has also expanded Washington’s trade deficit with the continent. AGOA expired in September, leaving hundreds of thousands of jobs at risk as uncertainty brewed over its renewal. The Trump administration’s imposition of hefty tariffs on African imports last year, as part of an overhaul of its global trade policy, added to the precarity. While AGOA “consistently contributed” to US goals, including boosting access to critical minerals, the 12-month extension — rather than the usual multi-year renewal — “ discourages sustained, long-horizon investment, ” an expert wrote in Foreign Policy. — Alexis Akwagyiram