Trump Opens New Front in Trade War Impacting Africa

The ongoing U.S.-China trade war is creating significant opportunities and challenges for African nations, which can reposition themselves within the global trade landscape. As both the U.S. and China impose tariffs and seek alternative sourcing, African countries like Ethiopia, Kenya, and Nigeria can attract foreign investment by offering lower labor costs and abundant resources. The African Continental Free Trade Area (AfCFTA) enhances this potential by fostering intra-African trade, which can further bolster economic growth. However, the trade relationship between the U.S. and Africa remains limited, with the continent accounting for only a small fraction of U.S. imports. Trump's recent trade measures, including potential impacts on the African Growth and Opportunities Act (AGOA), raise concerns about future U.S.-Africa trade ties. Additionally, Trump’s strategy to challenge China's dominance in African mineral markets, particularly in the Democratic Republic of Congo, could reshape trade dynamics on the continent.