Economy

SADC raises the alarm over US tariffs, says they would undermine AGOA benefits

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The Southern African Development Community (SADC) has expressed concern over the new tariffs imposed by the United States, which were announced on April 2, 2025, and are set to affect imports from the region.

According to the US announcement, a baseline tariff of 10 percent on all imports will take effect from April 5, with “reciprocal” tariffs to follow on April 9.

In a statement issued Tuesday, SADC noted that the tariffs would impact all its Member States to varying degrees.

The regional bloc listed affected products and corresponding reciprocal tariff rates: Zambia (17 percent ), Lesotho (50 percent ), Malawi (18 percent ), Mauritius (40 percent ), Madagascar (47 percent ), Mozambique (16 percent ), Botswana (38 percent), Democratic Republic of Congo (11 percent), Angola (32 percent), Comoros (10 percent), South Africa (31 percent), Eswatini (10 percent), Namibia (21 percent), Tanzania (10 percent), and Zimbabwe (18 percent), while Seychelles is exempted.

“The reciprocal tariffs are additional to existing tariff rates,” the statement read.

While most SADC Member States—except Seychelles and Zimbabwe—currently enjoy duty-free access to the US market under the African Growth and Opportunity Act (AGOA), SADC warned that the new tariffs would effectively nullify AGOA’s benefits.

The bloc further noted that AGOA is set to expire in September 2025, and expressed concern that key exports from the region, such as textiles and clothing, were not included on the US’s list of exempted products.

Read More: Tariff Shock: Asian stocks sink, fears of ‘economic nuclear winter’ rise

In response, SADC has launched a detailed assessment of the impact of these global geopolitical shifts on its economies. Findings will be presented at an extraordinary SADC Council of Ministers meeting in June 2025.

Additionally, the SADC Secretariat will review the implications of the US measures on regional trade for discussion at upcoming meetings of the Committee of Ministers of Trade (CMT) and the Ministerial Task Force on Regional Integration (MTF), leading to a collective position at the August 2025 Council of Ministers meeting.

SADC reaffirmed its commitment to the principles of the SADC Treaty, including adherence to World Trade Organization (WTO) rules and fair competition, and said it remained open to stakeholder engagement on the matter.

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