US President Donald Trump is planning to remove South Africa and Rwanda from the list of countries eligible for the African Growth and Opportunity Act (AGOA) next year, potentially ending their duty-free access to the American market under Washington’s flagship trade program for Africa.
The Office of the US Trade Representative disclosed this on Monday, saying Trump had formally notified Congress and both countries’ governments of his decision after an annual review of their eligibility.
According to the US Trade Representative, Jamieson Greer, the review found that Pretoria and Kigali had engaged in what he described as “concerning and pervasive” practices that violated AGOA’s eligibility requirements.
He cited barriers that undermine American trade and investment, as well as practices considered threats to US national security and foreign policy interests in the region.
The statement also raised concerns about corruption in South Africa and accused Rwanda of shortcomings in the rule of law, political pluralism, and human rights.
The planned action comes amid months of strained relations between Washington and the two African countries.
Relations between the US and South Africa have deteriorated following Trump’s allegations of a “genocide” against white South Africans, claims that experts have dismissed.
The Trump administration has also moved to end funding under the US President’s Emergency Plan for AIDS Relief (PEPFAR) in South Africa.
Meanwhile, South Africa had sought to leverage its critical mineral resources, particularly platinum, in trade negotiations with Washington.
Reacting to the development, South Africa’s Trade Minister, Parks Tau, said the decision would not define the broader relationship between the two countries.
He said Pretoria remained committed to pursuing trade, investment and mutually beneficial economic opportunities with the United States.
South Africa’s trade ministry also disclosed that it had offered additional concessions during negotiations, describing Washington’s decision to introduce new concerns that had not previously formed the basis of discussions as unfortunate.
Rwanda’s dispute with Washington, on the other hand, centres largely on the conflict in the eastern Democratic Republic of the Congo (DRC).
The US sanctioned Rwanda’s military leadership in March over alleged support for M23 rebels operating in eastern Congo.
Washington also imposed sanctions on Rwanda’s Defence Ministry last week, accusing it of supporting the rebels and using minerals sourced from territories under rebel control in its supply chains.
The planned removal of the two countries from AGOA eligibility would affect their preferential access to the US market under the programme, which provides qualifying sub-Saharan African countries with duty-free treatment for thousands of products.
The development represents another setback in trade relations between the Trump administration and the two African governments.
(SEMAFOR)
