US to droop South Africa and Rwanda from duty-free commerce entry

The United States authorities has introduced plans to droop South Africa and Rwanda from its flagship duty-free commerce programme for African nations, efficient January 1, 2027.

US Trade Representative Jamieson Greer confirmed on Monday that US President Donald Trump intends to “terminate” the 2 nations from the African Growth and Opportunity Act (AGOA) commerce choice program beginning in January 2027.

In an announcement, Greer mentioned “President Trump found that the governments of Rwanda and South Africa are engaging in practices that are inconsistent with AGOA’s eligibility criteria.”

Greer mentioned these practices embody “barriers that undermine American trade and investment and practices that pose a threat to US national security and foreign policy interests in the region.”

According to Reuters, the AGOA program has been the centerpiece of US financial engagement with Africa because it was enacted in 2000, providing duty-free entry to the US client marketplace for hundreds of merchandise from eligible nations.

The Trump administration has taken a sequence of measures towards South ​Africa, accusing its authorities of persecuting white South Africans, an allegation Pretoria rejects.

South Africa has been the most important beneficiary of the US program, exporting about $1.7 billion price of ​items to the US underneath AGOA in 2025. Its essential exports embody automobile components, citrus fruit, and wine, whereas Rwanda’s embody espresso and minerals.

South Africa’s commerce ministry late on Monday mentioned it could assist sectors affected by the choice and proceed pursuing commerce, funding and shared financial alternatives with the United States.

“AGOA remains important ​to South Africa, but it does not constitute the totality of the economic relationship between South Africa and the United States,” it mentioned in an announcement.