U.S. to Suspend South Africa and Rwanda From Duty-Free Trade Program Starting January 1, 2027

The United States will suspend South Africa and Rwanda from its duty-free trade program for sub-Saharan Africa from January 1, 2027, U.S. Trade Representative Jamieson Greer said on Monday, according to Reuters.

Greer notified Congress that the two countries would be suspended from the African Growth and Opportunity Act (AGOA), citing concerns about human rights, corruption and threats to U.S. interests. In a statement, Greer said President Donald Trump had found that the governments of Rwanda and South Africa were “engaging in practices that are inconsistent with AGOA’s eligibility criteria.”

The program, enacted in 2000, offers duty-free access to the U.S. market for thousands of products from eligible countries, Reuters reported. Washington said both countries were being suspended because of barriers that undermine American trade and investment and practices that pose a threat to U.S. national security and foreign policy interests in the region. It also raised concerns over human rights and the rule of law in Rwanda.

What is at stake for exporters

South Africa has been the largest beneficiary of the program, exporting about $1.7 billion worth of goods to the United States under AGOA in 2025, according to Reuters. Its main exports under the program include car parts, citrus fruit and wine, while Rwanda’s include coffee and minerals.

South Africa’s trade ministry said late on Monday that it would support sectors affected by the decision and continue pursuing trade, investment and shared economic opportunities with the United States. “AGOA remains important to South Africa, but it does not constitute the totality of the economic relationship between South Africa and the United States,” the ministry said in a statement. It noted that exports under AGOA make up about 10 percent of its total exports to the United States and 1 percent of its total global exports. There was no immediate reaction from Rwanda, Reuters reported.

Rwanda has already been under a partial suspension since 2018 that does not allow it to export apparel under AGOA, because of import tariffs the United States considers a barrier to trade. Reuters reported that the decision on Rwanda was most likely linked to the conflict in eastern Democratic Republic of Congo, where Washington says Rwanda is backing rebels.

Reaction in Washington and Pretoria

The top Democratic lawmaker on the House Ways and Means Committee criticized the decision to remove South Africa. “It’s yet another trade decision grounded in grievance that flies in the face of what responsible policy should be,” said Representative Richard Neal, who urged a fuller explanation and details on what steps South Africa could take to be reinstated to the program.

Ebenezer Obadare, an expert with the Council on Foreign Relations, told Reuters that South Africa could still export to the United States, just on less favorable terms, and that the move would likely prompt African nations to diversify their trade strategies. “Ten percent is not a trivial number, but it’s not 90%, it’s not 60%,” he said.

The Trump administration has taken a series of measures against South Africa, accusing its government of persecuting white South Africans, an allegation Pretoria rejects, Reuters reported. The United States has also criticized South Africa’s foreign policy, including the genocide case it brought against Israel at the International Court of Justice. Israel denies genocide. The U.S. ambassador to South Africa said in a post on X that the outcome was “predictable and preventable.”

Reporting based on coverage by Reuters.