U.S. President Donald Trump has approved a temporary renewal of a major trade agreement linking the United States with African economies, reviving a pact that had lapsed amid uncertainty over his administration’s tariff-driven trade agenda.
On Tuesday, Trump signed into law a short-term extension of the African Growth and Opportunity Act (AGOA), according to the Office of the United States Trade Representative. The deal, first enacted more than two decades ago, had expired last year after the administration declined to renew it while rolling out reciprocal tariffs under its America First policy.
The renewed agreement, however, runs only through Dec. 31, offering limited relief to African countries that rely heavily on preferential access to U.S. markets. U.S. trade officials said the program will now be adjusted to reflect tariffs imposed on other nations, aligning it more closely with Trump’s broader trade priorities.
For many African economies, AGOA remains critical. Its expiration had raised fears of lost exports, factory closures, and job losses—concerns compounded by sweeping reductions in U.S. foreign aid.
Here’s what to know about the extension and what comes next.
How a landmark trade pact lapsed
AGOA was established in 2000 during the presidency of Bill Clinton to promote economic growth in sub-Saharan Africa through trade rather than aid. Participation is conditional: countries must meet benchmarks related to market openness, governance, and respect for human rights, and eligibility can be revoked.
In 2024, the Biden administration removed Uganda from the program after the country enacted a harsh anti-gay law that U.S. officials said violated human rights standards.
At its height, AGOA granted duty-free access to the U.S. for roughly 1,800 products, including oil, automobiles and components, apparel, textiles, and agricultural goods. According to U.S. trade officials, two-way trade between the United States and Africa exceeded $100 billion in 2024, much of it supported by AGOA.
When the agreement expired at the end of September, 34 African countries were participating. Businesses across the continent warned that failure to renew the pact could put tens of thousands of jobs at risk.
A temporary fix, not a long-term solution
The current extension is notably brief. Previous renewals have provided long-term certainty, including a 10-year extension approved in 2015. This time, the agreement runs only through the end of 2026.
U.S. Trade Representative Jamieson Greer said the administration plans to work with Congress to “modernize” AGOA so that it better reflects President Trump’s America First trade philosophy, though he offered few specifics about what changes may be coming.
South Africa—Africa’s most industrialized economy and one of the largest beneficiaries of AGOA—welcomed the extension but expressed concern about its limited duration. Trade and Industry Minister Parks Tau told News24 that Pretoria hopes Washington will soon clarify the future of the program and provide longer-term certainty.
Strained ties with Africa’s economic heavyweights
The Trump administration’s relationship with Africa’s two largest economies—South Africa and Nigeria—has grown increasingly tense, raising questions about their future standing under a reworked AGOA.
Trump has repeatedly accused South Africa’s government of being hostile to U.S. interests and has made unsubstantiated claims that white minorities are being targeted for violence. At the same time, Washington has imposed tariffs as high as 30% on South African goods, among the steepest applied globally. The diplomatic strain has fueled concerns that South Africa could ultimately lose AGOA benefits.
Nigeria has also faced scrutiny. U.S. officials under Trump have alleged widespread persecution of Christians in Africa’s most populous nation, claims Nigerian authorities strongly dispute.
Africa adjusts to Washington’s tougher trade stance
Trump’s America First agenda has hit African countries on multiple fronts. Billions of dollars in funding were cut following the dismantling of the U.S. Agency for International Development, while new tariffs were imposed on several small or fragile economies. Leaders in countries such as Lesotho have said the combined impact has been devastating.
Washington has begun reshaping its engagement with Africa, shifting toward bilateral agreements, including new health partnerships announced in recent months. These initiatives emphasize domestic investment by African governments, which the administration says will encourage self-reliance and reduce waste.
At the same time, U.S. officials are pressing African nations to lower barriers to American exports. The trade representative’s office said any future version of AGOA must be consistent with America First principles and “require more from our trading partners.”
The tougher U.S. stance has prompted some African countries to deepen ties elsewhere—particularly with China, which has already emerged as the continent’s largest trading partner.
