"Its expiry would not only undermine those gains, but also remove the link to the Generalized System of Preferences, which has been so critical to many of our exporters," Ramaphosa said.
Speaking at the South Africa-U.S. Trade and Investment Dialogue on the sidelines of the 80th session of the United Nations General Assembly in New York on Wednesday night, Ramaphosa said industries such as agriculture and automotive manufacturing have significantly benefited from AGOA.
Implemented by former U.S. President Bill Clinton's administration in 2000, AGOA provides duty-free treatment to goods from designated sub-Saharan African countries.
Ramaphosa acknowledged the problems between South Africa and the United States, particularly since January this year. "New challenges have emerged in our trade relationship, not least the reciprocal tariffs recently imposed on South African exports. These measures have already disrupted supply chains and created uncertainty for both our exporters and American importers," Ramaphosa said.
At the 20th AGOA Forum in Johannesburg in November 2023, leaders and trade ministers called for a longer extension of the act and for its expansion to support greater investment, including the building of factories. However, the recent imposition of the U.S. tariffs on African countries has cast uncertainty over the future of AGOA.
Xinhua
Source : https://en.igihe.com/news/article/south-african-president-appeals-for-renewal-of-agoa
