- Joe Biden is looking to renew the US’s free-trade program with Africa.
- The idea could be suggested at the upcoming US-Africa summit which kicks off on 13th of December.
- The US is also looking to support the AfCFTA initiative.
The United states have been keen on establishing a sustainable trade relationship with several African states.
Recently the US government is looking to renew a trade agreement with Africa that affords some countries in the Sub-Saharan region tariff-free exporting.
Under the African Growth and Opportunity Act (Agoa) which comes to an end in 2025, Joe Biden is looking to give Africa preferential access to US markets, and tap into Africa’s growing economy.
This idea is set to be one of the subjects that would be discussed at the US-African Summit to be held on December 13th in Washington DC. This will be the first time Joe Biden will physically be in attendance since assuming office.
This free trade program which has existed for over 2 decades served as the blueprint for an intercontinental free trade program amongst Africans called the Africa Continental Free Trade Area Agreement (AfCFTA).
AfCFTA has been a more welcomed idea in the continent as the program is more utilized that the US-tariff free program.
Countries including Rwanda, Ethiopia, Guinea and Mali, which were suspended from the US-trade facility, are now avid-participants of AfCFTA programs.
AfCFTA is already on pace to rival the US’s offer as more countries in the continent are looking to explore their own lands for economic solutions rather than depend on regions on other continents.
As a result, the US is looking to expand its offer with Africa, while also supporting the AfCFTA initiative.
“Africa will shape the future — and not just the future of the African people but of the world,” said Antony Blinken, the US Secretary of State.
In its latest strategy report titled US Strategy Towards Sub-Saharan Africa August 2022, the US government has pledged to support Agoa and the implementation of the African Continental Free Trade Area agreement (AfCFTA).
