The Trump administration plans to end South Africa and Rwanda’s access to the African Growth and Opportunity Act (AGOA) trade preference program on January 1, 2027. U.S. Trade Representative Jamieson Greer said President Donald Trump had notified Congress and the two governments of his intention to terminate their eligibility following an annual review.

Greer said the administration found that practices by both governments were inconsistent with AGOA’s criteria, citing concerns including barriers to U.S. trade and investment and issues affecting American national security and foreign policy interests. The USTR also pointed to concerns in Rwanda involving human and worker rights, political pluralism and the rule of law.

The planned action follows earlier U.S. measures involving Rwanda. The country lost AGOA eligibility in 2018 after restricting imports of used apparel from the United States. More recently, Washington has accused Rwanda of supporting the M23 rebel group in the Democratic Republic of Congo, allegations denied by the Kigali government. The U.S. Treasury Department imposed sanctions on Rwanda’s Ministry of Defense last week.

For South Africa, the USTR cited alleged barriers to U.S. trade and investment, corruption, and concerns about U.S. security and foreign policy interests. The announcement comes amid wider tensions between Washington and Pretoria, including disputes over South Africa’s international relationships and U.S. claims about discrimination against white South Africans, which the South African government rejects.

South Africa has received AGOA benefits since the program was signed into law in 2000. In 2025, it exported about $1.7 billion in goods to the U.S. under the program, including apparel, cars, agricultural products and other manufactured items. However, most South African exports to the U.S. entered under most-favored-nation terms last year, while 10 percent entered under AGOA, down from 28 percent in 2024.

South African President Cyril Ramaphosa has urged businesses to prepare for the possible loss of duty-free access. Although Congress extended the program through 2028, the source report says Trump has the final say on eligibility. The South African government said AGOA remains important but does not represent the entirety of the economic relationship between the countries. Trade Minister Parks Tau said the government would support affected sectors and continue pursuing trade and investment opportunities with the United States.

Sources: WWD.