Trump to remove Rwanda and South Africa from US trade deal

November 3, 2026

President Donald Trump has announced plans to remove South Africa and Rwanda from the African Growth and Opportunity Act (Agoa), a preferential trade program allowing duty-free exports to the US, effective January 1, 2027. The Trump administration cited barriers to US trade and investment, national security concerns, and corruption issues in South Africa, while raising human rights and political concerns regarding Rwanda. South Africa's trade minister called the decision "unfortunate," noting that only about 10% of South African exports to the US benefited from Agoa in 2025, down from 28% the previous year.

Who is affected

South Africa and Rwanda (countries being removed from Agoa)
President Cyril Ramaphosa of South Africa
South African Trade Minister Parks Tau
More than 600 American companies operating in South Africa
Approximately 134,600 jobs supported by US companies in South Africa
US Trade Representative Jamieson Greer
US Ambassador to South Africa Leo Brent Bozell III
Rwanda's defense ministry
Exporters in both countries who rely on duty-free access to US markets

What action is being taken

The Trump administration is notifying Congress of the intention to remove South Africa and Rwanda from Agoa
The Trump administration has notified South Africa and Rwanda of the decision
South Africa is accelerating the diversification of its export markets to protect jobs
The US Treasury has sanctioned Rwanda's defense ministry

Why it matters

This removal from Agoa represents a significant escalation in diplomatic and economic tensions between the United States and two important African nations. While South Africa argues the direct impact may be limited—with only 10% of its US exports currently benefiting from Agoa—the decision signals deteriorating relationships and could affect broader bilateral trade worth $28.8 billion. The move threatens economic ties and jobs in both countries, and South Africa supplies critical resources to the US, including 12 of 50 minerals considered critical and 70% of American isotopes used in cancer treatment. The decision also reflects the Trump administration's willingness to use trade policy as leverage on issues ranging from corruption and market access to foreign policy alignment and human rights concerns.

What's next

South Africa will continue to accelerate the diversification of its export markets to protect jobs
The removal from Agoa will take effect on January 1, 2027

Read full article from source: BBC