The expiration of the African Growth and Opportunity Act (AGOA) marks the end of an era in US-Africa trade, but it may not be the devastating blow many fear. While the program was a flagship policy for 25 years, its overall impact had significantly diminished before it expired. By 2024, it covered only 21% of Africa’s exports to the US, a fraction of its 2008 peak. The pain will be concentrated, hitting apparel makers in countries like Kenya and Lesotho the hardest, while major exporters like Nigeria are insulated as their oil faces no new tariffs. This moment serves as a critical lesson that preferential market access alone is insufficient without parallel investment in local productive capacity. The real opportunity now lies in leveraging the African Continental Free Trade Area (AfCFTA) to build more resilient, self-sufficient trade networks for the future.
The African Report
