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Home » As Trump’s tariffs end, Africa braces for economic hits
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As Trump’s tariffs end, Africa braces for economic hits

TrendytimesBy Trendytimes04/04/2025No Comments4 Mins Read
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The harsh new tariffs announced by President Donald Trump are shaking trade ties between the United States and several African countries.

The plan, announced at the White House on Thursday and called Trump’s “Liberation Day,” imposes a minimum 10% tariff on all imports. It will come into effect on April 5th.

The US and the country with the biggest trade obstacles will be hit by additional mutual tariffs starting April 9th.

“Mutual. That means they do it to us, and we do it to them. It’s very simple. We can’t be simpler than that,” Trump said.

“Back to drawing”

The new measures have sparked concerns across the continent. South Africa called tariffs “unilaterally imposed and punitive” and warned that they would act as “a barrier to trade and shared prosperity.”

South Africa is Africa’s second largest trading partner, after China. In 2024, it exported $14.7 billion worth of goods to the United States. The automotive, agriculture and pharmaceutical sectors are expected to be hit hardest.

The South African presidency said there was an urgent need “to negotiate a new bilateral trade agreement with the United States.”

Oscar van Haerden, a senior researcher at the Centre for African Diplomacy and Leadership at the University of Johannesburg, said the new rules will have a broad effect on the RFI.

“The impact of this new tariff regime will be very bad. Everyone is now back to basics and understand the financial implications and exactly what it is,” he said.

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Accept my choice Van Harden said Trump’s tactics were deliberately confusing. He described the tariff decision as part of a broader strategy to induce a strong response and force countries to negotiate.

“And when you say what the Trump administration really wants, if you’re at the negotiation table and you want a favorable trade deal with the US, you’ll have to compromise on things that aren’t necessarily trade-related,” he said.

“In South Africa, perhaps if we brought it to the International Court of Justice against Israel for genocide.”

Small economy

Among the countries that have been hit hardest by tariffs is Lesotho, which is now facing 50% collection from exports to the US.

“In a sense, it’s retaliation from the US for them to charge 99% for the goods they export to us,” said Leseko Makhetha, dean of economics at Lesotho National University.

In 2024, Lesotho exported $237.3 million worth of goods to the United States. It imported only $2.8 million. The United States is Lesotho’s second largest trading partner after South Africa.

“We export textile products primarily to the US. This sector accounts for 40% of local employment. The new 50% tariff makes it very difficult to become competitive, meaning that 40,000 jobs are at risk.”

He warned that economic fallout could be serious. “Unemployment, rising prices and political riots may plague small kingdoms in the southern part of Africa.”

Lesotho’s currency, Roti, is pinned in South African rands. The recent decline in the value of the land has made imports even more expensive for Lesotho.

Other countries facing sudden tariffs include Madagascar (47%), Mauritius (40%), Botswana (37%), Angola (32%), Libya (31%), Algeria (30%), Tunisia (28%), Cote D’Ivoire (21%) and Nigeria (14%).

The response is uncertain

Makesa said it was too early to provide a simple fix, but suggested that Lesotho could try to boost the European Union and export of mineral goods to Asia.

“Trump’s policies, which have negative effects on African countries, may provide the necessary boost to Africa’s continental free trade zones,” he said.

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Van Hilden urged African countries to negotiate with the US as a bloc through regional organizations such as the SADC, Comesa and Ecowas.

“Small economies should be involved with the US as a group. That’s the only way they can negotiate with the US. If the small economies were involved individually, the US would roam them,” he said.

The new tariffs could also override the African Growth and Opportunity Act (AGOA), which provides tax-free access to the US markets of eligible sub-Saharan African countries. AGOA is set to expire in September.

“We expect South Africa to be excluded from the AGOA agreement,” Van Haerden said. “There has been a big movement in its effectiveness by both parties in Congress.”

He added that tariffs informed the Trump administration’s push to renegotiate all existing agreements in America’s favor.



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