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US plans to end duty-free trade access for South Africa and Rwanda in 2027
Donald Trump has notified Congress that the US intends to remove South Africa and Rwanda from a preferential trade programme from 1 January 2027. The proposed change could make thousands of products from the two countries subject to US tariffs, adding to already strained relations with Washington.
The African Growth and Opportunity Act allows eligible African countries to export thousands of products to the US duty-free. The US cited trade and investment barriers, national security and foreign policy concerns; it also raised human rights, political pluralism, rule of law and workers’ rights in Rwanda, and corruption in South Africa. The announcement follows US sanctions on Rwanda’s defence ministry over its alleged support for M23 rebels in eastern DR Congo.
In short
- The US plans to remove South Africa and Rwanda from Agoa in 2027.
- The programme gives eligible African exports duty-free access to the US.
- Washington cited trade, governance and security concerns.
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The case for
Supporters of ending the preferences could argue that access to a US trade programme should depend on meeting its stated standards, including fair access for US businesses and respect for human rights and the rule of law. They may see withdrawal as a way to protect US interests and signal consequences for serious concerns, including Rwanda’s alleged support for M23.
The case against
Critics could argue that removing duty-free access risks harming exporters and workers in South Africa and Rwanda, while weakening a programme intended to support African trade and development. They may favour targeted diplomacy or closer engagement, arguing that broad trade penalties could strain relations and make progress on the cited concerns harder to achieve.
Explained simply
The African Growth and Opportunity Act, known as AGOA, gives eligible African countries duty-free access to the US market for thousands of products. It is a US trade programme intended to support trade and investment between the United States and African countries.
South Africa and Rwanda are among the countries covered by the programme. The US has raised concerns about trade barriers and other policy issues in both countries, including workers’ rights and political freedoms in Rwanda and corruption in South Africa.
The proposed change matters because goods exported from the two countries could face US tariffs, potentially affecting businesses and trade between them and the US. It comes amid broader tensions, including US sanctions on Rwanda’s defence ministry over alleged support for rebels in eastern DR Congo.
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Originally published by BBC World as “Trump to remove Rwanda and South Africa from US trade deal”.