The government has expressed concern over the recent US government’s decision to impose mutual tariffs on several African countries, including a 21% tariff on Namibian goods.
In a statement issued last Friday, Amb. Pendana Anda, executive director of the Ministry of International Relations and Trade, highlighted the potential negative consequences of this move in Namibia’s trade relations with the US
“The government has taken note of the recent mutual tariffs of the US government imposed on African countries, including a 21% tariff on Namibia,” Nanda said.
He emphasized that the actions of the US administration “created turbulence in global trade.” This underscores that by leveraging prioritized access to the US market, it undermines its commitment under Anya, a non-cooperative agreement designed to support African developing countries and at least developing countries (LDCs).
Naanda revealed that the 21% tariff is not based on the principles of the most preferred countries (MFN), but rather on the US trade deficit with individual countries. He warned that the implementation of these mutual tariffs, as outlined in a recent White House statement, could “prioritize existing trade agreements, including the African Growth and Opportunity Act (AGOA), and could have a significant impact on trade flows.”
Amb, allowing Namibia’s existing 42% tariffs on goods from the US. Nanda pointed out that not all US goods entering Namibia attract these obligations under the South African Customs Union (SACU) tariff structure. He indicated that the situation requires “a balanced approach from SACU member states, including Namibia, to find viable solutions based on reciprocity.”
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Regarding mitigation strategies, Naanda said “stakeholder engagement is essential to measuring and establishing the extent of effectiveness imposed by the US.”
The executive director also warned of the possibility of a decline in the competitiveness of major Namibian exports in the US market. “It is also worth noting that the imposition of tariffs will lead to a decline in Namibian beef competitiveness in the US market, and potentially reduces sales volume and demand for Namibian products due to rising prices caused by tariffs.” He further warned that tariffs “can lead to disruption to established supply chains, negatively affecting Namibian export revenues and affecting the broader priority stability of Namibian products under the generalized system of setup (GSP) system.”
Naanda concluded by affirming the government’s commitment to oversee evolving US trade policies. “Through the Department of International Relations and Trade, the government continues to be caught up in monitoring the evolving dynamics of “America First” policies on trade, and the impact on incompatible trade agreements. ”
