United States President Donald Trump has signed a one-year extension to the African Growth Opportunities Act (AGOA), in a move that could secure jobs for thousands of Kenyans and billions of shillings for the economy.
The move was confirmed by the United States Trade Representative Jamieson Greer, who noted that the Trump administration would work with Congress this year to update the program to provide more market access for U.S. businesses, farmers and ranchers, and to align with Trump’s America First trade policy.
“AGOA for the 21st century must demand more from our trading partners and yield more market access for US businesses, farmers, and ranchers,” Greer said in his statement.
In the new extension, AGOA is set to run until December 31, 2026, after it had initially expired on September 30, 2025.
Initially, the US House of Representatives had approved an extension of three years, but the Senate whittled it down to one, a development that the House concurred with.
AGOA is a trade initiative passed in 2000 under former US President Bill Clinton, designed to give African products duty-free access to the US market.
AGOA permits eligible countries to ship over 1,800 products to the United States, among them coffee, tea, textiles and apparel that are central to many economies.
Back in April 2025, Trump signed an executive order imposing a ten percent reciprocal tariff on Kenyan exports under AGOA, significantly impacting Kenya’s trade with the US, valued at approximately Ksh109.7 billion (784 million USD).
After Trump’s sign-off, Kenya was spared from potential tariffs of up to 42 per cent, which if applied would have dealt a huge blow to the nation’s Export Processing Zones (EPZs), resulting in mass layoffs and revenue losses.
Also, the extension will cushion over 330,000 Kenyans who earn their livelihoods through apparels and textiles, and inject billions of shillings to the Kenyan economy. For instance, through AGOA, Kenya was able to generate Ksh95 billion in shipments to American consumers during 2024.
Still, Kenya has pursued a separate trade agreement with the US, which focuses on the mining and technology sectors, as it aims to secure long-term trade relations with the global superpower.
