November 5th 2023.
President Joe Biden has recently made a monumental change to the longstanding trade program with sub-Saharan African nations. After allegations of human rights violations, the president has removed Central African Republic, Gabon, Niger, and Uganda from the African Growth and Opportunity Act (AGOA).
BBC News reported on Nov. 1 that the removal of Niger and Gabon came as the result of their newfound ineligibility due to their failure to progress in the “protection of political pluralism.” Both countries are currently under military rule. The act was originally established in the year 2000 during the Bush administration, as it gave these African nations duty-free trading with U.S. products.
Uganda and CAR have been removed from the act due to their accused human rights infringements. President Biden had previously warned Uganda about its strict anti-homosexuality law, which can lead to death penalty sentences for those found guilty of engaging in same-sex acts.
In a letter to the U.S. House of Representatives speaker, Biden released a statement officiating the removal. He shared that, “Despite intensive engagement between the United States and the Central African Republic, Gabon, Niger, and Uganda, these countries have failed to address United States concerns about their non-compliance with the AGOA eligibility criteria.”
According to the International Trade Administration, the AGOA requires countries involved to adhere to and establish market-based economies, rule of law, and combat corruption in order to receive the benefits. The U.S. Government is now working with the remaining nine Sub-Saharan African countries to help them achieve eligibility.
The removal of these countries will begin next year, and experts are concerned about the impact this will have on their economies, on job creation, and on exporting products. The U.S. is currently considering updated regulations and reform to the trade deal as it expires in 2025, with Biden in support of its expansion with new amendments. U.S. Trade Representative Katherine Tai shared at a trade forum on Nov. 3 that, “We would like to see this program be more than just a symbolic one. We would like for it to be more useful and effective.”
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