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In the wake of the United States announcing a sweeping 10% tariff on imports on Wednesday, Kenya’s diplomatic and trade strategists are scrambling to safeguard their market access. The Kenyan government is working hard to maintain tariff-free access to the American market through the African Growth and Opportunity Act (AGOA). This effort could protect its exporters until at least September 2025, when the current AGOA framework is set to expire.
Korir Sing’oei, Kenya’s Foreign Affairs Principal Secretary, is already advocating vigorously for a waiver against these new tariffs, emphasizing the lower burden faced by Kenya compared to other nations but recognizing the need for action. “While the tariffs may be one of the lowest, we shall be vigorously advocating for their waiver,” Sing’oei said on X, suggesting that the fight for Kenyan exporters is far from over.
This battle comes in the shadow of President Donald Trump’s policy that levied a baseline 10 percent tariff on all imports from 185 countries, targeting America’s top trading partners with even steeper duties. Kenya, fortunately, skirts the harshest impacts thanks to AGOA, under which it has enjoyed zero-tariff benefits, a status that has significantly bolstered its trade relationship with the U.S.
Despite this advantageous position, the Kenyan Ministry of Investments, Trade and Industry, spearheaded by Cabinet Secretary Lee Kinyanjui, isn’t taking any chances. The ministry is pivoting, seeing in these challenging times a silver lining to expand and diversify. Kinyanjui Thursday said that Kenya will now have to transform into a new sourcing hub for U.S. buyers who might be deterred by higher tariffs elsewhere. This strategy aims to draw fresh investments into textile production, leather goods, and agro-processing, nurturing a more resilient and diverse economic base.
Yet, this is no small undertaking. The looming tariffs, albeit lower, mean that Kenyan businesses must adapt swiftly. Expanding production capacities and enhancing infrastructure are now imperative to meet anticipated demands and to continue thriving in the competitive U.S. market.
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