The African Growth and Opportunity Act (AGOA), granting duty-free access to the U.S. market for eligible African countries, is set to expire on September 30, 2025. With President Donald Trump’s renewed skepticism toward free trade and recent tensions with South Africa over land reform policies, the act’s reauthorization is in question. Analysts note that while AGOA’s overall impact on Africa’s GDP is modest, certain industries, such as South Africa’s automotive sector and apparel manufacturing in nations like Kenya, heavily rely on its benefits. The potential non-renewal of AGOA could disrupt these sectors, leading to significant economic consequences for the continent.
Source: African Business