Agoa removal is on the table for South Africa and Rwanda after US President Donald Trump notified Congress of plans to end their access to the preferential trade programme from 1 January 2027, according to officials.
The African Growth and Opportunity Act grants eligible African nations duty-free access for thousands of products into the US market. In a statement, US Trade Representative Jamieson Greer said an annual review concluded that both countries engaged in practices inconsistent with the programme’s eligibility standards. He said the administration had also formally notified the two governments.
The administration cited obstacles to US trade and investment, along with concerns tied to national security and foreign policy interests in the region. For South Africa, US officials pointed to corruption. In a letter to President Cyril Ramaphosa, Mr Trump said Pretoria’s stance on international security, and its cooperation with governments of concern to Washington, risked undermining US national security and foreign policy aims.
Mr Trump also accused South Africa of maintaining significant barriers affecting American commerce, including limits on agricultural market access, regulatory requirements, investment protections and intellectual property. “The Trump administration is working to ensure our African partners take the necessary steps to meet the eligibility criteria,” Mr Greer said.
South Africa’s Trade Minister Parks Tau called the move unfortunate, arguing that Washington was raising issues not on the table in bilateral trade talks that began in 2025. “We will continue to accelerate the diversification of South Africa’s export markets to protect jobs,” he said.
Agoa removal and US–South Africa trade ties
Pretoria has sought to contextualise the potential loss of Agoa benefits, noting the wider scope of the bilateral relationship. Government data show that about 89% of South African exports to the US entered under ordinary World Trade Organization most-favoured-nation terms in 2025, while roughly 10% used Agoa preferences, down from 28% in 2024. The value of South African exports under the programme fell to about $1.7 billion in 2025, from $4 billion the prior year.
Bilateral trade reached $28.8 billion in 2025, and more than 600 American firms operate in South Africa, supporting about 134,600 jobs, according to government figures. Officials also say the two economies have complementary interests. South Africa supplies 12 of the 50 minerals the US deems critical, and about 70% of American isotopes used in applications including cancer treatment. South African manufacturers use US inputs in products shipped under Agoa, including vehicles and boats.
US Ambassador to South Africa Leo Brent Bozell III said it was regrettable that South African policies led to the planned termination from Agoa. “This was a predictable and preventable outcome resulting from the rejection by South Africa’s government of real concerns raised by the US,” he wrote on X.
The announcement comes amid strained ties between Washington and both countries, with the proposed termination threatening their preferential access to the US market. Last year, Mr Trump accused South Africa of persecuting its white minority and launched a programme for white Afrikaners to seek asylum in the US. He also repeated widely discredited claims of a genocide of South Africa’s white population.
Agoa removal and regional implications
The proposed Agoa removal for South Africa and Rwanda underscores frictions over trade barriers and geopolitical alignment. Officials in Washington say eligibility can be restored if countries address concerns, while Pretoria maintains that its broader trade with the US will continue even if preferences lapse.
The announcement also comes as tensions rise across other regions where Washington is deeply engaged, including areas affected by Russian attacks in Ukraine. The White House and US State Department have not yet detailed next steps should South Africa and Rwanda seek to regain full trade benefits under Agoa.