South Africa and Rwanda are out of AGOA. The United States has officially removed both countries from the African Growth and Opportunity Act, the long-running trade programme that allows eligible African nations to export goods to the US tariff-free. The exclusions take effect from 1 January 2027, following a review by the office of the US Trade Representative.
US Trade Representative Jamieson Greer cited specific concerns for each country. For Rwanda, the administration flagged trade and investment barriers, rule of law, political pluralism, worker rights, and threats to US national security and foreign policy interests. For South Africa, the listed concerns included barriers to US trade and investment, corruption, and similar national security considerations.
South Africa's removal had been building for months. Tensions with Washington escalated sharply over Pretoria's genocide case against Israel at the International Court of Justice, joint military exercises held in South African waters with China, Russia, and Iran in January, and the Trump administration's repeated and contested claims that South Africa discriminates against its white citizens. In September, the US announced visa restrictions targeting South Africans it alleges are involved in racial discrimination, a move that signalled more pressure was coming.
To qualify for AGOA, African nations must meet criteria covering human and labour rights and open-market economic commitments. South Africa and Rwanda are not the first to lose access. Seventeen other African countries were already deemed ineligible before these two suspensions came through.
What this means in real economic terms for both countries, and whether either government will move to meet Washington's conditions ahead of 2027, is the question worth watching now.
Originally published by African Business.