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White House says Trump supports renewal of African trade initiative due to expire

FILE - Shipping containers carrying goods bound for markets across the world wait for shipment at a port in Cape Town, South Africa, Thursday, March 28, 2013.   -  
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USA

Thousands of businesses across sub-Saharan Africa are on tenterhooks as they wait to hear the fate of the African Growth and Opportunity Act (AGOA).  

First passed in 2020, AGOA provides duty-free access to the US market to 32 countries in sub-Saharan Africa. But it’s due to expire on Tuesday, with no extension yet agreed.  

White House officials say President Trump supports a one-year renewal of the law but the clock is ticking and a lot hangs in the balance.  

Without AGOA, Africa’s edge in the export market will erode, putting hundreds of thousands of jobs at risk. Many countries including Kenya, Lesotho and Madagascar would see duties on their exports more than double. That’s on top of the hefty tariffs already introduced at the start of this year.  

Advocates say it will also be bad for US firms – restricting choices and raising prices on imported raw materials. 

The law’s only realistic path for renewal is to be attached to a stopgap funding bill Republicans are pushing to the keep the US government open beyond Tuesday. For many African businesses, their ability to stay open is also at stake.  

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