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Africa Must Strategically Leverage U.S. Policy Shifts for Economic Growth
Speaking during the webinar “Trump, Trade, and Africa: Turning Policy Shifts into Opportunities,” Hon. John Lual Akol Akol, Chairperson of the East African Business Council (EABC), emphasized the need for a unified African position and strong public-private collaboration to transform evolving U.S. trade policies into opportunities for inclusive and sustainable growth.
Mr. John Thomas of Nestpoint Associates highlighted the transactional approach of the new U.S. administration, noting its willingness to engage in trade deals. He underscored Africa’s opportunity to benefit from increased U.S. tariffs on China by positioning itself as an alternative supply chain hub. He also pointed out Africa’s potential in the technology sector, particularly in data centers.
During the panel session on “Navigating Policy Shifts for Africa’s Economic Growth,” Mr. Jas Bedi, EBS, MBS, Chairperson of KEPSA and Vice Chairperson of EABC, stated that the global trade landscape is shifting from globalization to regionalization / localization of global brands. Amid this shift, the African Growth and Opportunity Act (AGOA) is set to expire on September 30, 2025, raising concerns about the future of U.S.-Africa trade relations.
Mr. Bedi noted that Africa’s economy accounts just 3.5% of the USD 100 trillion global economy and Africa accounts only 2% of U.S. imports – implying that Africa poses no major competition in terms of export market share or geopolitical arena. He also highlighted Africa’s demographic advantage, with a young and growing population, stressing the urgent need to mobilize this asset for economic growth. He called for value addition of commodities and deepening regional and continental integration.
Mr. Michael P. Murphy, Chief Strategy Officer at Fairfield Management and Senior Advisor to Africa at Nestpoint Associates, described the current U.S. policy shifts as a historic opportunity to redefine U.S.-Africa trade and investment relations. He noted that the new U.S. administration is expected to prioritize unlocking capital, offering opportunities for Americans to invest in Africa and internationally.
Dr. Valencia de la Vega, an expert in Manufacturing Leadership and Supply Chain Management, emphasized the importance of optimizing transportation between Africa and the U.S. using AI-driven logistics solutions to enhance supply chain efficiency. She highlighted key sectors of trade and investment between Africa and the U.S., include renewable energy, battery production, textiles, research and development on value addition in manufacturing.
Additionally, USAID is reshaping its aid priorities and areas of engagement on a global scale. Over the past two decades, AGOA has played a pivotal role in enhancing Africa’s access to the U.S. market, supporting economic growth, job creation, and industrial development across the continent. According to the U.S. International Trade Commission, African beneficiary countries exported approximately USD 103 billion worth of non-crude products to the U.S. between 2001 and 2022.
The webinar convened over 300 stakeholders composed of thought leaders, policymakers, and business executives from the regional, continent and U.S. who engaged in discussion to explore ways to turn policy shifts into actionable opportunities for Africa’s economic transformation.
By Naomi Namusoke