World
South Africa’s AGOA Forum Aims at Strengthening US-Africa Trade Relations
By Kestér Kenn Klomegâh
South Africa prepares to host the African Growth Opportunity Act (AGOA) forum to review critical challenges and obstacles adversely impacting trade opportunities and economic cooperation between the United States and Africa. The United States first introduced the African Growth and Opportunity Act (AGOA) in 2000. It is the 20th AGOA forum scheduled from November 2 to 4 in Johannesburg, South Africa.
The AGOA Trade and Economic Cooperation Forum seeks to expand and deepen trade and investment relationships between the United States and Sub-Saharan Africa. It also encourages regional integration and further reaffirms Africa’s position as a capable economic partner for the world. It aims to promote economic growth, reduce poverty and foster a stronger trade partnership between the United States and African countries.
The Johannesburg forum will also be a follow-up on some of the business pledges taken during the mid-December African leaders summit in Washington. At that meeting, US President Joe Biden allocated $55 billion for various investment projects across Africa. The State Department reports indicated that African countries are looking forward to strengthening trade relations. The White House plans to offer new favourable conditions as well as extend or renew the trade partnership which expires in September 2025.
As well known, AGOA gives eligible sub-Saharan African countries duty-free access to the United States market for more than 1,800 products and simultaneously creates grounds for trade and commercial services. The majority of African governments and industry groups are pushing for an early 10-year extension without changes in order to reassure business and new investors who might have concerns over AGOA’s future.
South Africa is working to secure renewal and extension of AGOA, including through direct engagement between government and business representatives, as well as with members of the US Senate and Congress across party-political lines. During a recent parliamentary briefing, Minister of Trade, Industry and Competition, Ebrahim Patel, told Members of Parliament that South Africa’s participation in AGOA benefits neighbouring countries through shared value chains.
Reports indicated that U.S. President Joe Biden would terminate the participation of Gabon, Niger, Uganda and the Central African Republic in the African Growth and Opportunity Act (AGOA) trade program.
Biden said he was taking the step because of “gross violations” of internationally recognized human rights by the Central African Republic and Uganda. He also cited Niger and Gabon’s failure to establish or make continual progress toward the protection of political pluralism and the rule of law. Burkina Faso, Mali and Guinea have all previously been expelled from AGOA after military coups in those countries.
“Despite intensive engagement between the United States and the Central African Republic, Gabon, Niger, and Uganda, these countries have failed to address United States concerns about their non-compliance with the AGOA eligibility criteria,” Biden said in an official letter to the speaker of the U.S. House of Representatives.
Their expulsion from the AGOA trade program is set to take effect from the start of next year (2024) and is likely to impact their economies, as AGOA has been credited with promoting exports, economic growth and job creation among participating countries.
The Democratic Alliance, South Africa’s main opposition party, has waged its own campaign for South Africa to continue participating in AGOA and warned that its exclusion would have a devastating impact on the economy, with the vehicle manufacturing industry among those that would be badly affected.
“Should South Africa’s access to AGOA be revoked as a consequence of its allegiance to Russia, 112,000 jobs in the automotive sector and 435 billion ($23 billion) in automotive trade could be wiped out,” the party said in a statement. “South Africans need to realize that our country’s jobs and the security of our economy are intrinsically linked to trade founded on global alliances.”
South Africa lobbies to retain preferential access to the U.S. market, so the majority of African countries. A number of high-powered delegations, in a bid to defuse tensions over its relations with Russia, have visited Washington. Finance Minister Enoch Godongwana has spoken with US lawmakers and heavily lobbied for South Africa to retain its eligibility to export goods duty-free to the US under the African Growth and Opportunity Act.
The United States currently seeks to build on its existing economic and trade relations with Africa, especially in this fast-changing geopolitical situation. Without much criticism, AGOA has helped during these years in supporting a fledgling manufacturing sector in industrial parks, it has had a meaningful impact in sectors like Ethiopia’s and Kenya’s textile industry and South Africa’s automotive industry.
The United States has been gearing up so as not to lose its economic influence across Africa. South Africa’s trade amounted to an estimated $25.5 billion in 2022. Exports were $9.3 billion, imports were $16.2 billion. The U.S. goods and services trade deficit with South Africa was $6.9 billion in 2022.
Research also shows that since 2021, the U.S. Government has helped close more than 800 two-way trade and investment deals across 47 African countries for a total estimated value of over $18 billion, and the U.S. private sector has closed investment deals in Africa valued at $8.6 billion. U.S. goods and services traded with Africa totalled $83.6 billion in 2021.
U.S. Trade Representative Katherine Tai, ahead of the Africa Growth Opportunity Act forum in Johannesburg, has expressed optimism that AGOA, which provides preferential trade arrangements for sub-Saharan African countries with the United States, would be renewed by the Congress. And of course, members of the U.S. Congress want to see AGOA benefits shared widely and used to create good-paying jobs across Sub-Saharan Africa.
At previous high-level engagements, there was consensus to extend AGOA beyond 2025. The suggestion has been tabled before the US Administration. United States Trade Representative, Ambassador Katherine Tai, is committed to robust trade and economic collaboration with Sub-Saharan Africa.
During one of the meetings, Ambassador Katherine Tai, the African Ministers, and the Africa Group of Ambassadors underscored the following:
* An extension of AGOA for at least ten years with the inclusion of African countries.
* The importance of Africa speaking with One Voice in all US-Africa trade and investment engagements.
* Enhanced commercial diplomacy between the US and Africa. There was also agreement that South Africa would host the next AGOA forum this year 2023.
Most United States enterprises are banking to explore the single continental market, the African Continental Free Trade Agreement (AfCFTA). As a corporate project initiated by the African Union (AU), it has the potential to unite more than 1.4 billion people in a $2.5 trillion economic bloc. It has the potential to generate a range of benefits through supporting trade creation, structural transformation, productive employment and poverty reduction. The AfCFTA opens up more opportunities for both local African and foreign investors from around the world.
Corporate Council on Africa, which is a leading reputable American business association, told me that the main focus is to increase US-Africa trade and investment. It further characterized the forum as a platform to highlight the progress made across sectors of Africa’s economy, including expanding opportunities in agriculture, industry and manufacturing, technology, health, agribusiness, tourism and financial services.
Corporate Council on Africa has assisted the government in contracting deals closed more than 800 two-way trade and investment deals across 47 African countries for a total estimated value of over $18 billion, and the American private sector has closed investment deals in the continent valued at $8.6 billion since 2021.
The African Union (AU) spearheads Africa’s development and integration in close collaboration with the individual countries on the continent, with the Regional Economic Communities and African citizens. With its vision to accelerate progress towards an integrated Africa, it works closely with the United States. Most importantly, the United States has more room for manoeuvring with its institutional instruments. It now works closely with AU’s AfCFTA. On the other side, Africans flexibly visit the United States more often than anywhere else in the world.
The AU has its representative office facilitating and coordinating activities and business interests in Washington. The White House and the Biden-Harris administration have been prioritizing comprehensive multifaceted relationships with various countries across Africa. The Biden-Harris Administration is committed to strengthening US-Africa trade and commercial relations and engaging Congress on the next steps for AGOA.
By Kestér Kenn Klomegâh
At the end of an extensive consultation with African foreign ministers, Russian Foreign Minister, Sergey Lavrov, has emphasized that Moscow would advance its economic engagement across Africa, admittedly outlining obstacles delaying the prompt implementation of several initiatives set forth in Strategic Action Plan (2023-2026) approved in St. Petersburg during the Russia-Africa Summit.
The second Ministerial Conference, by the Russian Foreign Ministry with support from Roscongress Foundation and the Arab Republic of Egypt, marked an important milestone towards raising bilateral investment and economic cooperation.
In Cairo, the capital city of the Arab Republic of Egypt, Lavrov read out the final resolution script, in a full-packed conference hall, and voiced strong confidence that Moscow would achieve its strategic economic goals with Africa, with support from the African Union (AU) and other Regional Economic blocs in the subsequent years. Despite the complexities posed by the Russia-Ukraine crisis, combined with geopolitical conditions inside the African continent, Moscow however reiterated its position to take serious steps in finding pragmatic prospects for mutual cooperation and improve multifaceted relations with Africa, distinctively in the different sectors: in trade, economic and investment spheres, education and culture, humanitarian and other promising areas.
The main event was the plenary session co-chaired by Russian Foreign Minister Sergey Lavrov and Egyptian Minister of Foreign Affairs, Emigration, and Egyptians Abroad Bashar Abdelathi. Welcome messages from Russian President Vladimir Putin and Egyptian President Abdelhak Sisi were read.
And broadly, the meeting participants compared notes on the most pressing issues on the international and Russian-African agendas, with a focus on the full implementation of the Russia-Africa Partnership Forum Action Plan for 2023-2026, approved at the second Russia-Africa Summit in St. Petersburg in 2023.
In addition, on the sidelines of the conference, Lavrov held talks with his African counterparts, and a number of bilateral documents were signed. A thematic event was held with the participation of Russian and African relevant agencies and organizations, aimed at unlocking the potential of trilateral Russia-Egypt-Africa cooperation in trade, economic, and educational spheres.
With changing times, Africa is rapidly becoming one of the key centers of a multipolar world order. It is experiencing a second awakening. Following their long-ago political independence, African countries are increasingly insisting on respect for their sovereignty and their right to independently manage their resources and destiny. Based on these conditions, it was concluded that Moscow begins an effective and comprehensive work on preparing a new three-year Cooperation and Joint Action Plan between Russia and Africa.
Moreover, these important areas of joint practical work are already detailed in the Joint Statement, which was unanimously approved and will serve as an important guideline for future work. According to reports, the Joint Statement reflects the progress of discussions on international and regional issues, as well as matters of global significance.
Following the conference, the Joint Statement adopted reflects shared approaches to addressing challenges and a mutual commitment to strengthening multifaceted cooperation with a view to ensuring high-quality preparation for the third Russia-Africa Summit in 2026.
On December 19-20, the Second Ministerial Conference of the Russia-Africa Partnership Forum was held in Cairo, Egypt. It was held for the first time on the African continent, attended by heads and representatives of the foreign policy ministries of 52 African states and the executive bodies of eight regional integration associations.
By Adedapo Adesanya
Social media platform, TikTok’s Chinese owner ByteDance has signed binding agreements with United States and global investors to operate its business in America.
Half of the joint venture will be owned by a group of investors, including Oracle, Silver Lake and the Emirati investment firm MGX, according to a memo sent by chief executive, Mr Shou Zi Chew.
The deal, which is set to close on January 22, 2026 would end years of efforts by the US government to force ByteDance to sell its US operations over national security concerns.
It is in line with a deal unveiled in September, when US President Donald Trump delayed the enforcement of a law that would ban the app unless it was sold.
In the memo, TikTok said the deal will enable “over 170 million Americans to continue discovering a world of endless possibilities as part of a vital global community”.
Under the agreement, ByteDance will retain 19.9 per cent of the business, while Oracle, Silver Lake and Abu Dhabi-based MGX will hold 15 per cent each.
Another 30.1 per cent will be held by affiliates of existing ByteDance investors, according to the memo.
The White House previously said that Oracle, which was co-founded by President Trump’s supporter Larry Ellison, will license TikTok’s recommendation algorithm as part of the deal.
The deal comes after a series of delays.
Business Post reported in April 2024 that the administration of President Joe Biden passed a law to ban the app over national security concerns, unless it was sold.
The law was set to go into effect on January 20, 2025 but was pushed back multiple times by President Trump, while his administration worked out a deal to transfer ownership.
President Trump said in September that he had spoken on the phone to China’s President Xi Jinping, who he said had given the deal the go ahead.
The platform’s future remained unclear after the leaders met face to face in October.
The app’s fate was clouded by ongoing tensions between the two nations on trade and other matters.
By Kestér Kenn Klomegâh
Despite the complexities posed by Russia-Ukraine crisis, United States has been taking conscious steps to improve commercial relations with Russia. Unsurprisingly, Russia, on the other hand, is also moving to restore and normalise its diplomacy, negotiating for direct connections of air-routes and passionate permission to return its diplomats back to Washington and New York.
In the latest developments, Kirill Dmitriev, Chief Executive Officer of the Russian Direct Investment Fund (RDIF), has been appointed as Russian President’s Special Envoy to United States. This marked an important milestone towards raising bilateral investment and economic cooperation. Russian President Vladimir Putin tasked him to exclusively promote business dialogue between the two countries, and further to negotiate for the return of U.S. business enterprises. According to authentic reports, United States businesses lost $300+ bn during this Russia-Ukraine crisis, while Russia’s estimated 1,500 diplomats were asked to return to Moscow.
Strategically in late November 2025, the American Chamber of Commerce in Russia (AmCham) has awarded Kirill Dmitriev, praised him for calculated efforts in promoting positive dialogue between the United States and Russia within the framework decreed by President Vladimir Putin. Chief Executive Officer of Russian Direct Investment Fund (RDIF) Kirill Dmitriev is the Special Representative of the Russian President for Economic Cooperation with Foreign Countries. Since his appointment, his primary focus has been on United States.
“Received an American Chamber of Commerce award ‘For leadership in fostering the US-Russia dialogue,’” Dmitriev wrote on his X page, in late November, 2025. According to Dmitriev, more than 150 US companies are currently operating in Russia, with more than 70% of them being present on the Russian market for over 25 years.
In addition, Chamber President Sergey Katyrin and American Chamber of Commerce in Russia (AmCham) President Robert Agee have also been discussing alternatives pathways to raise bilateral business cooperation. Both have held series of meetings throughout this year, indicating the the importance of sustaining relations as previously. Expectedly, the Roscongress Foundation has been offered its platforms during St. Petersburg International Economic (SPIEF) for the American Chamber of Commerce (AmCham).
On December 9, Sergey Katyrin and Robert Agee noted that, despite existing problems and non-economic obstacles, the business communities of Russia and the United States proceed from the necessity of maintaining professional dialogue. Despite the worsening geopolitical conditions, Sergey Katyrin and Robert Agee noted the importance of preserving stable channels of trade and pragmatic prospects for economic cooperation. These will further serve as a stabilizing factor and an instrument for building mutual trust at the level of business circles, industry associations, and the expert community.
The American Chamber of Commerce (AmCham) will be working in the system of the Chamber of Commerce and Industry (CCI) in the Russian Federation, which currently comprises 57,000 legal entities, 130 regional chambers and a combined network of representative offices covering more than 350 points of presence.
According to reports obtained by this article author from the AmCham, promising sectors for Russian-American economic cooperation include healthcare and the medical industry, civil aviation, communications/telecom, natural resource extraction, and energy/energy equipment. The United States and Russia have, more or less, agreed to continue coordinating their work to facilitate the formation of a more favorable environment for Russian and American businesses, reduce risks, and strengthen business ties. Following the American-Russian Dialogue, a joint statement and working documents were adopted.
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