The United States will remove South Africa and Rwanda from the African Growth and Opportunity Act (AGOA), the trade programme that lets eligible African countries sell thousands of products to the US without paying duty. The change takes effect on January 1, 2027, according to a statement by US Trade Representative Jamieson Greer.
The decision, announced on Monday and reported by AFP, Africanews and trade advisers GHY International, is one of the biggest shake-ups of AGOA in years. It hits Africa’s most industrialised economy and one of the continent’s fastest-growing smaller economies at the same time.
What Washington announced
According to Greer’s statement, President Donald Trump has notified Congress and the two governments of his intention to end their AGOA eligibility. The move follows the annual review of which sub-Saharan African countries qualify for the programme, which US law requires the President to carry out each year.
The US says both countries are engaged in “concerning and pervasive practices” that are inconsistent with AGOA’s eligibility criteria. These include barriers to US trade and investment and threats to American national security and foreign policy interests, according to GHY and Ghana’s 3News, which quoted the statement.
For South Africa, the concerns listed include trade and investment barriers and corruption. For Rwanda, the US cited trade barriers, the rule of law, political pluralism, workers’ rights and human rights. Removal requires 60 days’ notice to Congress and to the country concerned, Africanews reported.
Why South Africa and Rwanda
Relations between Washington and Pretoria have been strained since the start of Trump’s second term, with disputes over South Africa’s land expropriation law, its case against Israel at the International Court of Justice, and the treatment of white Afrikaner farmers. President Cyril Ramaphosa warned on October 20 that the country should prepare for an adverse AGOA decision, Africanews reported.
The Rwanda decision came about a week after the US Treasury sanctioned Rwanda’s Ministry of Defence over its alleged backing of the M23 rebel group in eastern Democratic Republic of Congo, according to 3News and Africanews. Kigali denies supporting M23. Rwanda’s apparel exports had already lost AGOA benefits in 2018 after a dispute over its ban on imported second-hand clothing.
How Pretoria reacted
South Africa’s Department of Trade, Industry and Competition said it had offered concessions during talks with Washington and called it unfortunate that the US raised new issues that were not part of those negotiations, according to 3News. Trade Minister Parks Tau said the decision does not define South Africa’s broader relationship with the United States, and that the government would support affected companies and look for other markets.
Citing the department, 3News reported that South Africa’s exports under AGOA had already fallen to about $1.7 billion in 2025, from roughly $4 billion in 2024, after Trump’s tariffs reduced the programme’s value. Citrus growers in the Western and Northern Cape have warned of job losses, since many orchards were planted for American buyers.
No official reaction from the Rwandan government after the announcement had been reported at the time of writing.
What it means for Nigeria and the rest of Africa
AGOA was signed into law in 2000 and has long been a pillar of US-Africa trade. Nigeria, mainly through oil, has historically been among the largest exporters under the programme, alongside South Africa and Kenya, according to a 2024 USTR report cited by 3News. Nigeria was not named in Monday’s decision.
Analysts say the removals send a clear message that Washington is willing to use AGOA as leverage on political and security issues, not only trade. Greer said the administration was working to ensure African partners take the necessary steps to meet the eligibility criteria, suggesting a route back remains open.
What happens next
Unless the decision is reversed, South African and Rwandan goods that currently enter the US duty-free under AGOA will face normal US tariffs from January 1. Pretoria says it will keep talking to Washington, while exporters are expected to step up efforts to diversify into Europe, Asia and the African Continental Free Trade Area.
Sources: Africanews/AFP, GHY International, 3News (citing Mail & Guardian and South Africa’s DTIC).
