US congress shows strong bipartisan support for Agoa reauthorisation

Source: AGOA.info. Florie Liser, president and chief executive officer of Corporate Council on Africa (CCA).

“As the dtic [Department of Trade, Industry and Competition] family, we regard the Agoa Forum as a crucial engagement reinforcing the strong economic ties between South Africa and the United States and our African continent,” Trade, Industry and Competition Minister Parks Tau said.

He said the mutually beneficial economic and trade partnership was highlighted by the more than 600 US businesses operating in South Africa and with over 1.3 million jobs created in sub-Saharan Africa.

The minister was addressing the media in Cape Town on Tuesday to present some of the major outcomes that emanated from the two international engagements, Agoa and the 14th Brics+ held in the United States and in Moscow, Russia, recently.

Parks said South Africa received strong bipartisan backing from the US Congress and colleagues in the US Administration for the re-authorisation of Agoa.

Enhancing Africa's integration

Proposals presented by the South African delegation included the extension of Agoa for stability, improved rules of origin, and adjustments to the eligibility review process to preserve regional value chains and enhance Africa’s manufacturing capabilities.

“The importance of maintaining these value chains was emphasised, with calls for Agoa enhancements to support the Africa Continental Free Trade Area (AfCFTA) integration.

“Agoa and AfCFTA should be viewed as complementary forces crucial for Africa’s economic integration rather than as separate entities.

“Agoa has significantly expanded Africa’s access to US markets, while AfCFTA aims to create a unified continental market by eliminating tariffs and fostering economic co-operation among African nations,” Parks said.

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Parks said to fully leverage both frameworks, Agoa’s provisions should be enhanced to support AfCFTA’s goals.

“This includes extending Agoa to provide trade stability, improving rules of origin to streamline the integration of regional value chains, and adjusting the eligibility review process to reflect AfCFTA’s progress,” he said.

Aligning trade frameworks

The minister said by aligning Agoa with AfCFTA, Africa can create a more cohesive economic structure that boosts intra-African trade, enhances manufacturing capabilities and integrates regional economies into the global market and driving sustainable growth across the continent.

“I would like to commend deputy minister Andrew Whitfield for his exceptional facilitation during the highly contested meeting that determined the host nation for Agoa in 2025. He navigated such a challenging and contentious environment skillfully. DM Whitfield's adept handling of the situation was crucial in achieving a balanced and effective outcome.

“Equally, deputy minister Zuko Godlimpi represented South Africa at the pivotal Brics+ trade ministers' meeting. A key from the Brics+ meeting was to call for a predictable, fair and equitable trade environment consistent with WTO’s rules as crucial for advancing economic prosperity,” the minister said.

The outcomes emanating from the Brics+ meeting included, among others:

Parks said both the Agoa Forum and the Brics trade ministers meeting were fundamental in advancing international trade relations and economic co-operation.

“These engagements underscore the importance of co-operative trade relations in shaping a more equitable and sustainable global economy.

“They both underscore South Africa’s commitment to pursue transparent and strategic partnerships with both our Global North and Global South partners guided by the global policy and programmatic blueprints such as the SDGs, the Paris Climate Accord, the AU’s Vision 2063, and our very own NDP,” Parks said.