World Trade Organisation (WTO) Director-General, Dr Ngozi Okonjo-Iweala, and several United States lawmakers have welcomed President Donald Trump’s signing of legislation extending the African Growth and Opportunity Act (AGOA) for another two years.
The development restores the preferential trade programme after the previous authorisation expired on September 30, 2025.
Nigeria is among the 32 African countries benefiting from AGOA, which was established in 2000 to promote economic growth across Africa by providing eligible countries with duty-free access to the US market.
Okonjo-Iweala expressed her delight over the development in a post on X, formerly known as Twitter, describing the extension as an opportunity to strengthen trade between Africa and the United States.
“Great to learn that the USA has granted a two-year extension of the African Growth and Opportunity Act (AGOA), extending trade preferences to qualifying African countries,” she said.
She added: “Hope this will help stimulate mutually beneficial and greater Africa-USA trade! Thanks to Congress, the Administration, and the numerous individuals and organisations that worked hard to make this happen.
“Credit also to the African Union @_AfricanUnion and African leaders for patience and persistence on this issue.”
The US House of Representatives had earlier approved legislation to renew the preferential trade programme, passing the measure by 340 votes to 54.
The extension was subsequently approved by both chambers of Congress and signed into law by Trump on Friday, despite concerns over the future of South Africa’s participation in the programme.
The renewed AGOA runs through December 31, 2028, providing continuity for exporters in eligible African countries and allowing the preferential trade arrangement to continue without substantive policy changes.
The programme had faced months of uncertainty following the expiration of the previous authorisation, with concerns that the Trump administration could either scrap AGOA or significantly alter its terms and eligibility requirements.
South Africa’s continued participation also became a major issue after some US lawmakers called on Trump to remove Pretoria from the programme following his return to the White House.
In December, US Trade Representative Jamieson Greer said he was open to “different treatment” for South Africa, describing the country as a “unique problem” and signalling that its participation could be reviewed.
Meanwhile, US lawmakers who played key roles in championing the extension have welcomed the signing of the legislation.
Republican Congressman Jason Smith, who represents Missouri’s 8th Congressional District and introduced the AGOA Extension Act, said the programme had been central to US trade relations with sub-Saharan Africa for more than two decades.
“For over two decades, the African Growth and Opportunity Act has been the foundation of America’s trade relationship with the nations of sub-Saharan Africa,” Smith said.
He noted that AGOA promotes economic stability and opportunities across Africa while advancing US strategic and national security interests, including access to critical minerals and the development of more secure supply chains.
US Congresswoman Terri Sewell, who represents Alabama’s 7th District, also applauded the extension, describing it as an important step towards strengthening trade relations between the United States and Africa.
“I am thrilled to announce that we were able to include the reauthorisation of the African Growth and Opportunity Act, or AGOA, in the continuing resolution that passed the House today,” Sewell said.
“As the lead champion of AGOA in Congress, I am thrilled that we were able to overcome the divisiveness in Washington and extend this critically important trade programme for two years while we continue our work to modernise and expand our trade relationships with Africa.”
According to Sewell, AGOA has been one of the most successful US trade programmes, creating opportunities for African countries while also benefiting American workers, farmers and manufacturers.
She described AGOA as “the best of American economic leadership”, saying it promotes opportunity, partnership and long-term investment.
“At a time when Africa’s economic importance is growing, I am glad that the United States is joining with the AGOA countries to secure a more prosperous future for us all,” she added.
The legislation introduced by Smith initially sought a three-year renewal of AGOA through December 31, 2028. The final legislation, however, provides for a two-year extension to the same date.
A key provision of the renewed law allows eligible African imports to receive retroactive duty-free treatment from the date the programme expired.
The provision means importers can seek refunds for duties paid during the period when AGOA was not in force, provided the goods qualify for preferential treatment under the programme.
The extension is expected to provide greater certainty for African exporters and US importers while giving both sides additional time to negotiate the future direction and possible modernisation of the trade framework.