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Trump New Trade Tariffs Adjustment Affects African Countries Diversely

Trump New Trade Tariffs Adjustment Affects African Countries Diversely
Saturday, 02 August 2025 14:13

• US reduced initial April rates (up to 50%) to 10-30% in August for some African nations, exempting minerals/oil, via negotiations to address trade deficits.
• Southern Africa (e.g., South Africa at 30%) hit hardest on autos/steel; West (Nigeria 15%) spares oil but affects cocoa; East (Kenya 10%) faces baseline on textiles/coffee.
• Potential 10-20% export drop spurs AfCFTA diversification, WTO challenges, and domestic subsidies, raising US costs while pushing African resilience.

USA President Donald Trump signed the expected executive order on July 31, 2025, modifying reciprocal tariff rates on imports from numerous trading partners, with the changes taking effect on August 7, 2025. This adjustment follows months of negotiations and temporary pauses on higher rates initially announced in April 2025, aimed at addressing persistent U.S. trade deficits and perceived unfair trade practices.

For African nations, the revisions result in a baseline 10% tariff on most imports, with elevated rates of 15% to 30% applied to countries maintaining trade surpluses with the U.S., based on calculations using halved 2024 bilateral trade data to determine the additional duty. The policy exempts critical minerals, energy products, and specific U.S.-sourced components, thereby mitigating some impacts but still posing challenges to sectors such as textiles, agriculture, and manufacturing.

Out of 54 countries, five are facing increased tariffs, signalling heightened exposure to U.S. trade policy shifts. Meanwhile, 13 countries saw a reduction in the initially proposed tariffs, often the result of successful negotiations or sectoral exemptions, particularly for key exports like oil or textiles. The remaining 36 countries are subject to stable tariffs, meaning the final adjustments left initial rates unchanged. The figures highlight a differentiated impact of U.S. tariff policy, with some African exporters securing relief while others now face steeper trade barriers.

The adjustments reveal diverse effects across the continent, with southern African economies facing steeper hurdles due to their export profiles. South Africa, the U.S.'s most significant African trading partner after Nigeria, retains a 30% tariff on non-exempt goods such as vehicles, steel, and citrus fruits, unchanged from initial proposals, potentially eroding $2 billion in annual exports and straining industries that benefited from the African Growth and Opportunity Act (AGOA).

Lesotho, initially slated for a 50% rate due to its textile-driven surplus, saw a reduction to 15% following intense lobbying and declarations of economic emergency, providing relief to an industry employing thousands but still threatening price competitiveness in the U.S. market for garments supplied to brands like Levi's and Walmart. Similarly, Madagascar's vanilla and apparel exports, initially facing 47% and Mauritius's textiles at 40%, were both lowered to 15%, averting immediate factory closures but raising costs for U.S. consumers reliant on these commodities.

West African oil exporters experience mixed outcomes under the regime. Nigeria's tariff edged up to 15% from an initial 14%, impacting non-oil exports like cocoa while sparing crude petroleum, which constitutes over 90% of its U.S. shipments. However, broader market volatility from global trade tensions could depress energy prices and fiscal revenues. Angola, reduced from 32% to 15%, and Côte d'Ivoire, down from 21% to 15%, face similar dynamics, with cocoa and oil sectors partially shielded but agricultural value chains vulnerable to reduced demand. Ghana and Cameroon, both at 15%, anticipate disruptions in cocoa processing and exports, potentially costing millions in revenue as U.S. importers absorb or pass on duties averaging $2,400 per household annually.

North African countries encounter higher barriers, exacerbating regional trade imbalances. Algeria and Libya maintain 30% rates on non-energy goods, while Tunisia's olive oil and textiles drop to 25% from 28%, affecting small producers amid ongoing negotiations for exemptions. Egypt and Morocco remain at the 10% baseline, benefiting from smaller deficits and strategic alignments, though broader policy uncertainty could deter foreign investment in phosphates and manufacturing. East African nations like Kenya, Ethiopia, Tanzania, and Rwanda adhere to the 10% floor, preserving relative advantages in apparel and coffee but risking nullification of AGOA preferences, which facilitated $29.3 billion in U.S. imports from the continent in 2024.

Central and southern African mineral exporters see moderated rates, with Botswana, Namibia, Zambia, and Zimbabwe all at 15%, down from higher initial figures, protecting diamond and copper flows but pressuring downstream industries amid exemptions for critical resources vital to U.S. supply chains. The Democratic Republic of the Congo and Mozambique, also at 15%, benefit from mineral carve-outs, yet face potential GDP hits of up to 1% if demand weakens, as modeled in prior World Bank scenarios.

African governments have responded with a mix of diplomatic engagement and domestic strategies, pledging to accelerate intra-continental trade via the African Continental Free Trade Area (AfCFTA) and diversify partnerships toward China, India, and the EU. South Africa is preparing industry support packages and exploring WTO challenges, while Nigeria stabilizes its currency through central bank interventions amid falling oil prices. Experts estimate a 10-20% drop in African exports to the U.S., disproportionately affecting jobs in textiles and agriculture, while increasing U.S. household costs and global economic uncertainty.

 The tariffs underscore a broader realignment in global trade, potentially overriding AGOA's duty-free access and pushing African economies toward resilience through regional integration and alternative markets, as the U.S. average tariff climbs to 15.2%. While some nations like Burkina Faso and Seychelles escape higher rates entirely, the policy's uneven application highlights vulnerabilities in smaller, export-dependent economies, with long-term implications for U.S.-Africa financial ties.

Idriss Linge

Below are the Tables of US Tariffs for African Countries

Countries With Decreased Tariffs from April 2025

Country

April Tariff

August Tariff

Exposed Sectors

Tariff Change

Angola

32% (10% + 22%)

15%

Agriculture (coffee, fish), wood

Decreased

Botswana

37% (10% + 27%)

15%

Textiles, beef, soda ash

Decreased

Cote d'Ivoire

21% (10% + 11%)

15%

Cocoa, rubber, cashews

Decreased

Lesotho

50% (10% + 40%)

15%

Textiles (jeans, apparel)

Decreased

Libya

31% (10% + 21%)

30%

Chemicals, non-oil

Decreased

Madagascar

47% (10% + 37%)

15%

Vanilla, textiles, nickel (exempt?)

Decreased

Malawi

17% (10% + 7%)

15%

Tobacco, tea

Decreased

Mauritius

40% (10% + 30%)

15%

Textiles, sugar

Decreased

Mozambique

16% (10% + 6%)

15%

Tobacco, sugar

Decreased

Namibia

21% (10% + 11%)

15%

Fish, grapes

Decreased

Tunisia

28% (10% + 18%)

25%

Olive oil, textiles

Decreased

Zambia

17% (10% + 7%)

15%

Agriculture, tobacco

Decreased

Zimbabwe

18% (10% + 8%)

15%

Tobacco, ferroalloys (exempt?)

Decreased

 

Countries with Increased tariffs from April 2025

Cameroon

11% (10% + 1%)

15%

Cocoa, timber, rubber

Increased

Chad

13% (10% + 3%)

15%

Gum arabic, livestock

Increased

Congo (Kinshasa) DRC

11% (10% + 1%)

15%

Wood, agriculture, cocoa (Crictical Mineral Exempted?)

Increased

Equatorial Guinea

13% (10% + 3%)

15%

Wood, cocoa

Increased

Nigeria

14% (10% + 4%)

15%

Cocoa, food products

Increased

Countries with new tariffs stable from the April 2025

Algeria

30% (10% + 20%)

30%

Chemicals, fertilizers, machinery parts

Stable

Benin

10%

10%

Cotton, cashews, shea butter

Stable

Burkina Faso

10%

10%

Cotton, sesame

Stable

Burundi

10%

10%

Coffee, tea

Stable

Cape Verde

10%

10%

Fish, apparel

Stable

Central African Republic

10%

10%

Timber, diamonds (if non-exempt)

Stable

Comoros

10%

10%

Vanilla, cloves

Stable

Congo (Brazzaville)

10%

10%

Timber, agriculture

Stable

Djibouti

10%

10%

Livestock, coffee re-exports

Stable

Egypt

10%

10%

Textiles, agriculture (fruits)

Stable

Eritrea

10%

10%

Minerals (exempt), apparel

Stable

Eswatini

10%

10%

Sugar, textiles

Stable

Ethiopia

10%

10%

Coffee, apparel, flowers

Stable

Gabon

10%

10%

Timber, manganese (exempt?)

Stable

Gambia

10%

10%

Cashews, fish

Stable

Ghana

15% (10% + 5%)

15%

Cocoa, shea butter, apparel

Stable

Guinea

10%

10%

Bauxite (exempt), fish

Stable

Guinea-Bissau

10%

10%

Cashews, fish

Stable

Kenya

10%

10%

Apparel, coffee, tea

Stable

Liberia

10%

10%

Rubber, iron ore (exempt?)

Stable

Mali

10%

10%

Cotton, livestock

Stable

Mauritania

10%

10%

Fish, copper (exempt)

Stable

Morocco

10%

10%

Phosphates (exempt), textiles, fruits

Stable

Niger

10%

10%

Livestock, onions

Stable

Rwanda

10%

10%

Coffee, tea

Stable

Sao Tome & Principe

10%

10%

Cocoa, copra

Stable

Senegal

10%

10%

Fish, phosphates (exempt)

Stable

Seychelles

10%

10%

Fish, canned tuna

Stable

Sierra Leone

10%

10%

Fish, rutile (exempt)

Stable

Somalia

10%

10%

Livestock, fish

Stable

South Africa

30% (10% + 20%)

30%

Vehicles, steel, citrus, wine

Stable

South Sudan

10%

10%

Oil exempt

Stable

Sudan

10%

10%

Gum arabic, sesame

Stable

Tanzania

10%

10%

Cashews, coffee

Stable

Togo

10%

10%

Cotton, phosphates (exempt)

Stable

Uganda

15% (10% + 5%)

15%

Coffee, fish

Stable

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