The US authorizes a short extension to a longstanding African trade agreement. Here’s what to know

U.S. President Donald Trump has renewed a critical free-trade agreement with African countries that had previously expired, though the extension comes with significant caveats and a shorter timeframe than anticipated.

The African Growth and Opportunity Act (AGOA), a 26-year-old trade agreement that provides duty-free access to U.S. markets for eligible sub-Saharan African nations, was signed back into law by Trump on Tuesday, according to the Office of the United States Trade Representative. The agreement had lapsed at the end of September, creating uncertainty for numerous African economies.

Unlike the previous 10-year extension granted in 2015, the current renewal extends only until December 31, 2026, reflecting the administration’s intent to modify the agreement in line with Trump’s America First trade policy. U.S. Trade Representative Jamieson Greer stated that the administration would work with Congress to “modernize the program,” though specific details of potential changes remain unclear.

AGOA, originally established in 2000 under President Bill Clinton, has been fundamental in shaping U.S.-Africa trade relations, which were valued at more than $100 billion in 2024. The agreement allows approximately 1,800 products, including crude oil, automobiles, textiles, and agricultural goods, to enter the U.S. market duty-free, creating economic opportunities across eligible African nations.

The trade pact has been selective in its application, with the U.S. maintaining the authority to exclude countries failing to meet specific requirements related to market-based economies, democratic standards, and human rights. Earlier this year, Uganda was removed from the agreement by the Biden administration following the enactment of strict anti-LGBTQ+ legislation that American officials deemed a human rights violation.

Prior to the renewal, the agreement included 34 African countries, many of which had expressed serious concern about potential job losses numbering in the tens of thousands if the trade benefits disappeared permanently.

South Africa, as one of the largest beneficiaries of AGOA and the continent’s most advanced economy, expressed relief at the renewal but voiced concern about the abbreviated extension period. South African Trade Minister Parks Tau told local media that the country hopes the U.S. will “provide certainty” about the agreement’s details in the near future.

Political tensions have complicated the trade relationship between the U.S. and Africa’s two largest economies. Trump has criticized South Africa’s government as anti-American and made unsubstantiated claims about persecution of white minority groups in the country. The U.S. has imposed 30% tariffs on South African goods, among the highest globally, raising concerns about South Africa’s future eligibility under a revised AGOA framework.

Similarly, U.S.-Nigeria relations have been strained by Trump’s assertions about persecution of Christians in Africa’s most populous nation, claims that Nigerian officials maintain are inaccurate.

Trump’s America First policy has presented particular challenges for African economies, coinciding with cuts to billions of dollars in aid following the dismantling of the United States Aid Agency and the imposition of tariffs on struggling economies. Some smaller nations, such as Lesotho, have described the combined impact of reduced aid and trade barriers as “almost impossible to bear.”

The U.S. has moved to recalibrate its assistance approach to Africa, recently announcing bilateral health agreements that require African nations to invest in their own healthcare systems—a strategy the Trump administration contends will foster greater self-sufficiency and reduce wasteful spending.

As part of its trade stance, the U.S. has called on African countries to eliminate barriers to American imports. The U.S. trade office emphasized that AGOA must align with America First principles and “demand more from our trading partners.”

These aggressive trade positions have prompted some African nations to strengthen ties with alternative partners, particularly China, which already stands as the continent’s largest trading partner.

The short-term extension creates a deadline that will likely require further negotiations during the next presidential term, maintaining uncertainty about the long-term trade relationship between the United States and sub-Saharan Africa.