AGOA ‘technically inactive’ after Trump’s tariffs on African exports – Mahama

President John Dramani Mahama has indicated that the African Growth and Opportunity Act (AGOA) is unlikely to be renewed due to the tariffs imposed by the United States on African countries, including Ghana, which now faces a 15% tariff on exports to the US market.

Initially, AGOA was scheduled for renegotiation in September, but President Mahama noted that the US administration under Donald Trump has disrupted the global trade system by imposing tariffs on countries that previously enjoyed duty-free access, leaving little hope for the agreement’s renewal.

He made these remarks during his first presidential media encounter of his second term in office. “Countries like Africa enjoyed zero tariffs in the US because we were in the developing world. It was a concession that the US gave. In comes President Trump. He has a more transactional mindset.

He says the US has been taken for granted for longtime, so even countries like Ghana in Africa, he slapped a 15% tariff on us from zero tariff.”

“AGOA is essentially defunct. It was scheduled for renegotiation in September; however, given the 15% tariff, it is highly unlikely that AGOA will be renewed. We are closely monitoring the situation. While Congress holds the authority to impose tariffs, President Donald Trump consistently pushes the boundaries,” he stated.

Since its inception in 2000, the African Growth and Opportunity Act (AGOA) has been a cornerstone of U.S. economic policy and commercial engagement with Africa.

AGOA provides eligible sub-Saharan African countries with duty-free access to the U.S. market for over 1,800 products, in addition to the more than 5,000 products eligible for duty-free access under the Generalized System of Preferences program. In 2015, Congress passed legislation modernizing and extending the program to 2025.

However, the Trump administration’s shift toward protectionist trade measures has raised concerns about the program’s continuation.