South Africa’s exclusion from the African Growth and Opportunity Act (AGOA), which takes effect on January 1, 2027, is expected to affect exporters and hurt the country’s economy. However, experts believe that the exclusion does not signify a collapse in bilateral commerce and will not have a major impact. According to analysts, only about 10% of South African exports to the United States currently receive AGOA preferences, equivalent to roughly 1% of the country’s total global exports. Still, the decision could put between 3,000 and 10,000 jobs in agriculture and manufacturing at risk. President Cyril Ramaphosa called the exclusion a setback that could open the way to a bilateral trade agreement.