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The US plans to strip South Africa and Rwanda of duty-free access to its market at the end of the year, escalating pressure on two African governments whose relations with Washington have come under strain over foreign policy and regional security.
Donald Trump had notified Congress and both African governments of his intention to terminate their participation in the the 26-year-old African Growth and Opportunity Act, which provides eligible sub-Saharan African countries with preferential access to the US market, trade representative Jamieson Greer said on Monday.
The decision follows an annual eligibility review, after which Greer said both nations were engaged in practices “inconsistent with Agoa’s eligibility criteria”.
“These concerning and pervasive practices include, but are not limited to, barriers that undermine American trade and investment and practices that pose a threat to US national security and foreign policy interests in the region,” Greer added.
Washington also cited corruption in South Africa, while its concerns about Rwanda included the rule of law, political pluralism, workers’ rights and human rights.
The move marks a sharp escalation in trade tensions under an administration that has pushed for tighter “America First” alignment and bilateral reciprocity over preferential schemes.
South Africa, Agoa’s largest beneficiary, is the continent’s most industrialised economy and faces losing duty-free access for vital manufacturing and agricultural exports.
The country exported about $1.7bn of goods to the US under Agoa in 2025, or about 10 per cent of its exports to the US and 1 per cent of its global exports. Officials estimate that up to 10,000 jobs could be at risk in an economy where unemployment exceeds 30 per cent.
The Trump administration has repeatedly attacked South Africa over its Black economic empowerment policies, its case accusing Israel of genocide at the International Court of Justice and its ties with Iran. Pretoria’s land reform laws — which the US president falsely claims are part of a “genocide” against white Afrikaners — have drawn particular ire.
President Cyril Ramaphosa has sought to play down the impact of losing Agoa access, saying last month that South Africa was seeking to expand trade with countries including China and India to hedge against deteriorating US ties.
Ramaphosa said he and his deputy had “been going on trips around the world to see where we can open up markets”.
In Kigali, the decision comes amid mounting tension with Washington over the conflict in neighbouring Democratic Republic of Congo. The mineral-rich central African nation is crucial to US ambitions to secure supply chains for critical minerals, including cobalt and copper, and counter Beijing’s dominance in the region’s green energy metals.
The US last week imposed sanctions on Rwanda’s defence ministry, accusing it of supporting the M23 rebel movement in eastern Congo.
Rwanda’s government has denied backing the rebels. Yolande Makolo, the government’s spokesperson, said commitments by the DR Congo to “neutralise” a key militia under a US-brokered peace deal remained “wholly unmet, and with no accountability”.
Kigali lost Agoa access for its apparel exports in 2018, after restricting imports of second-hand clothing. Other products, including coffee, tea and minerals, retained duty-free access.
Neither government issued an immediate response to the US announcement, though officials in both capitals have said they will continue pursuing diplomatic engagement on Agoa.
Source: www.ft.com
