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Corporate Update

AGOA Reinstated, For One Year

US President Donald Trump has signed a one-year extension of the African Growth and Opportunity Act (AGOA). The program had expired on September 30, 2025. It is now restored until December 31, 2026.

The announcement was made by US Trade Representative Jamieson Greer. He said the renewal applies retroactively, so trade benefits will continue without a gap.

What is AGOA?

AGOA was first introduced in 2000. It allows eligible sub-Saharan African countries to export more than 1,800 products to the United States without paying duty.

To qualify, countries must support market-based economies, rule of law, lower trade barriers, reduce poverty, fight corruption, and protect human rights.

In 2024, exports under AGOA reached US$ 8.23 billion. South Africa accounted for about half. Nigeria contributed around one-fifth.

When AGOA expired last year, trade was disrupted and thousands of jobs were at risk.

Political tensions in the background

The extension comes at a sensitive time. Relations between the US and South Africa have been strained. The Trump administration has accused South Africa of discrimination against its white minority. The South African government has denied these claims.

The US House first passed a three-year extension. The Senate reduced it to one year, and the House agreed.

For now, African exporters have relief. But the short extension means uncertainty remains.

“For 25 years, AGOA has strengthened US–Africa commercial ties. The industry welcomes this long-awaited renewal. While the retroactive nature of this passage supports the industry on time lost, proactive and long-term renewal is what is needed for predictability, investment, and economic viability to support the U.S. jobs anchored by these programs. The industry looks forward to working with Congress and the Administration to secure renewal well before December 31, 2026.” - Beth Hughes, AAFA’s Vice President of Trade and Customs Policy

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