AGOA lives on until 2028, but Africa questions America’s long-term trade vision

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The decision by the US House of Representatives to extend the African Growth and Opportunity Act (AGOA) for another two years has given African economies a temporary reprieve, but it has not resolved the deeper uncertainty surrounding Washington’s long-term commercial relationship with the continent.

The short-term government funding bill, reportedly approved by the House in a decisive 370-48 vote on Tuesday, keeps AGOA in place without altering its existing provisions. President Donald Trump is expected to sign the legislation, extending the preferential trade program through 2028.

African governments and businesses that depend on access to the US market will find the extension significant. Yet the limited duration of the deal also underlines the challenge facing companies trying to make investment decisions around a trade arrangement whose future remains uncertain.

AGOA has been one of the most important pillars of US economic engagement with sub-Saharan Africa. The program allows eligible African countries to export thousands of products to the US market without paying tariffs, with the broader objective of encouraging investment, industrialization and economic diversification.

Its importance is particularly visible in sectors such as apparel, agriculture, processed foods, automobiles and other manufactured goods. For countries that have struggled to move beyond exporting raw commodities, preferential access to one of the world’s largest consumer markets offers an opportunity to build industries around exports rather than simply shipping unprocessed resources abroad.

That is why the House vote is being viewed as an interim victory across Africa.

But two additional years are a far cry from the longer horizon many African governments had been seeking.

South Africa, one of the continent’s largest economies and a major participant in US-Africa trade, had pushed for a 15-year extension. Instead, businesses now have certainty only until 2028.

That gap matters because trade policy is not simply about whether tariffs exist today. Businesses considering factories, supply chains, agricultural production or export infrastructure often make decisions based on conditions expected to remain stable for a decade or more.

Oge Onubogu, director of the Africa Program at the Center for Strategic and International Studies, captured that concern by arguing that the extension “does not provide the certainty” African businesses and governments need for long-term investment and planning.

Her broader question may ultimately prove more important than the 2028 deadline: what exactly is the United States’ long-term economic vision for Africa?

That question has become increasingly relevant under Trump’s return to the White House, particularly as Washington’s approach to international trade has placed greater emphasis on tariffs, reciprocity and American economic interests.

African governments are not necessarily demanding permanent preferential treatment. Their concern is knowing what rules will govern access to the US market and whether those rules will remain stable long enough to justify major investment.

AGOA’s uncertainty also creates a strategic opening for America’s competitors.

China, the European Union, India, Gulf states and other emerging economic powers are already seeking deeper commercial relationships across Africa. If African producers cannot be confident about maintaining access to the US market, they have greater incentive to redirect investment and develop alternative export destinations.

The issue is particularly pressing as African countries attempt to take advantage of the African Continental Free Trade Area, which aims to create a much larger integrated African market. The combination of domestic regional demand and predictable access to major external markets could accelerate manufacturing and value-added production.

The two-year extension therefore buys Washington time, but it does not settle the strategic question.

African economies may welcome AGOA’s survival, but its brevity sends a different message. The immediate challenge has been postponed, not eliminated.

By 2028, African governments will once again be asking whether the US sees the continent as a long-term economic partner or simply as a market governed by shifting trade priorities.

The next AGOA debate may consequently be less about extending a trade program and more about defining the kind of US-Africa economic relationship that should replace uncertainty with predictability.

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