The United States is committed to building stronger relations with Africa under the African Growth and Opportunity Act (AGOA), according to US Trade Representative Katherine Tai.
In a speech at the AGOA Forum in Johannesburg on Friday, Tai said that the US is “all in on Africa” and is working to support the implementation of the African Continental Free Trade Area (AfCFTA).
The US has provided approximately $160 million to support the negotiation and implementation of the AfCFTA, and Tai called on all stakeholders to work together to further unlock the potential of the partnership.
Tai also said that the US is looking to talk about improving AGOA utilization rates, exploring additional trade tools to complement the AGOA relationship, and better use of the multilateral trading system for the benefit of underserved groups.
She described AGOA as a vehicle for workers and businesses across Africa, and noted that the total goods imported into the United States under AGOA was about $10 billion in 2022, a significant increase compared to $6.8 billion in 2021.
The non-petroleum imports – major sources of new investment and jobs in Africa, went up to $5.7 billion in 2022, from $5 billion in 2021.
“The programme has fostered economic growth and development on the continent to increase investment and to create new jobs and opportunities,” Tai said.
Tai’s comments come at a time when the US is facing a number of challenges, including the COVID-19 pandemic, the climate crisis, and growing inequality and economic insecurity. However, she said that there have also been positive developments, such as the trading under the AfCFTA and the African Union joining the G20.
Tai singled out South Africa, which is ranked one of the largest AGOA users, with the country being the top exporter in 2022, with $3.6 billion in exports.
“South Africa is leading the continent on other aspects as well, including through its clear commitment to human rights,” she said.
