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Why the US wants to extend Agoa
Kenya and US delegations during the signing of the historic Health Cooperation Framework between the two governments.
What you need to know:
- On Tuesday, the United States House of Representatives voted to extend the African Growth and Opportunity Act.
- The US Congress will now put in place the reviewed legislation that will see the US extend Agoa to at least three years.
Kenya says the decision by the US government to extend a major trading pact with African countries could revive sectors that rely on it, even though Washington was also targeting to counter China on the continent.
On Tuesday, the United States House of Representatives voted to extend the African Growth and Opportunity Act (Agoa). The US Congress will now put in place the reviewed legislation that will see the US extend Agoa to at least three years to allow more than 32 Sub Saharan African countries free duty access to the US market.
Kenya welcomed the decision to extend Agoa for a further three years, terming the move a major boost for exports, jobs and investor confidence.
Cabinet Secretary for Investments, Trade and Industry Lee Kinyanjui said the government will leverage on the renewed Agoa window to diversify Kenya’s exports beyond textiles and apparel.
Investments, Trade and Industry Cabinet Secretary Lee Kinyanjui make his remarks during the signing of the Host Agreement for the 24th Comesa Heads of State and Government Summit at KICC, Nairobi, on September 18, 2025.
“The uncertainty that had previously engulfed the sector will now give way to renewed confidence and expansion. As a Ministry, we aim to grow exports of additional products under the Agoa framework beyond textiles, ensuring that Kenya fully leverages this opportunity to create jobs and generate wealth,” said Kinyanjui.
In Kenya, the textile and apparel industries operating within the Export Processing Zones (EPZs) employ over 80,000 people directly and an additional 250,000 indirectly.
Kenya is also eyeing a bilateral trade agreement with the US.
“During the recent visit by President William Ruto to Washington, DC, Kenya’s request for enhanced market access to the US was discussed. Further, we are in discussions on a bilateral trade agreement that will cover other key sectors and further cement Kenya’s long-standing partnership with the United States,” said Kinyanjui.
Kenya’s major exports to the US include textiles and apparel, coffee, tea, horticultural products, and tourism services.
“Expanding our export basket remains a key priority and aligns with our broader strategic economic agenda,” the Trade CS said.
When passing the Agoa Extension Act (H.R. 6500), the US House of Representatives said the extended lapse in Agoa would create a void that malign actors like China and Russia will seek to fill.
“Africa is home to approximately 30 percent of the world’s critical mineral resources and China has invested $8 to $10 billion in Africa to try to monopolize these essential supply chains.”
The development comes in the wake of China’s decision to grant duty-free access to nearly all products from 53 African countries, a major policy shift announced in mid-2025, to deepen trade, reduce Africa's trade deficit with China, and boost African exports like agricultural goods, minerals, and textiles by removing import tariffs into the Chinese market.
Russia has increased its engagement in Africa, focusing on military presence, energy and infrastructure to secure resources and counter Western influence.
Trade pacts with China
Kenya and 52 other African countries that recognise One China policy with Beijing as capital. of China have separately been negotiating trade pacts with the Asian country on the basis of duty free access to the Chinese market.
On December 19, Kenya said it had concluded negotiations on the Agreement on Economic Partnership for Shared Development, an interim arrangement to allow preferential trade between Kenya and China as the two countries negotiate an envisaged economic partnership agreement.
“Equally, we have exchanged our respective tariff schedules – specifying the products that will enjoy preferential treatment as well as agreed on the applicable rules of origin,” said Foreign Affairs PS Korir Sing’oei.
Nairobi argues it will pursue trade opportunities on both sides, rejecting claims it had been pressured by Washington to slow down on China deal.
“We see no tension between our concluding a market access arrangement with China on one hand and our robust push for AGOA re-authorisation as well as a separate Bilateral Trade Agreement with the United States on the other,” Sing’oei added.
Principal Secretary for Foreign Affairs, Korir Sing’oei.
China’s pursuit of a trade rebalances, as well as search for minerals in Africa has not gone unnoticed by President Donald’s Trump’s government whose tariffs on trade presented China and Russia with the opportunity to make more moves in Africa.
US Lawmakers said the extension could blunt Beijing’s bid.
“These programmes are key for countering the threats to America’s strategic and economic security posed by China and Russia in Africa and by turmoil inside Haiti. This is particularly important when it comes to securing our nation’s supply chains and access to critical minerals,” said Jason Smith, the chairman of the ‘Ways and Means Committee’ in the House of Representatives, referring to two separate programmes that targeted Africa and Haiti.
Agoa provides African manufacturers in eligible countries with tariff-free access to the US market. It had lapsed on September 30 by the Trump administration, in the wake of tariffs on more than 70 countries including China.
But a proposed extension until December 31, 2028, sponsored by Republican congressman Smith, will now head to the Senate for approval after the House voted 340-54 in favour.
“A swift reauthorisation will ensure the United States can support reliable trading partners and deny nations that seek to exploit resources and spread harmful influence around the world more room to advance their interests,” said Smith.
