The United States has officially announced that South Africa will no longer benefit from the African Growth and Opportunity Act (AGOA) beginning January 1, 2027. On November 2, US Trade Representative Jamieson Greer confirmed the exclusion, ending a preferential trade arrangement that currently exempts numerous African products from import taxes in the US market. This decision also affects Rwanda.
The move was not unexpected by the South African government, which has been under pressure from Washington for several months. In response to the announcement, Pretoria has sought to minimize the perceived impact of losing this trade status. The administration is reportedly working to diversify its international partners following earlier US announcements regarding reciprocal tariffs.
In a letter dated October 28 and revealed by the South African Broadcasting Corporation (SABC), President Donald Trump outlined the reasons for excluding South Africa from the AGOA beneficiary list. He cited the country's relations and cooperation with governments that concern the United States as a primary factor. Additionally, the letter accused Pretoria of maintaining significant tariffs and non-tariff barriers while noting insufficient progress in the fight against corruption.
Sources: Le Monde International.