US revokes Rwanda’s duty-free apparel privileges

03/08/2018
The office of the US trade representative has announced the suspension of duty-free access into the country for apparel imports from Rwanda, a move first mooted at the end of March.

Rwanda benefits from duty-free access to the US market for a number of its products, including apparel, through the African Growth and Opportunity Act (AGOA). The sub-Saharan countries eligible for this trade programme must meet a number of conditions, including eliminating barriers to US trade and investment.

The decision has been taken in response to the tariffs Rwanda has put in place on used apparel and footwear from the US, which it claims are harming the local textile industry. It does not affect non-apparel products.

“We regret this outcome and hope it is temporary,” said CJ Mahoney, deputy United States trade representative. He added that the suspension would affect 3% of Rwanda’s exports to the US, worth roughly $1.5 million. 

Following the announcement, the Rwandan government pledged to support the country’s textile manufacturers if necessary. It said it is considering several measures, but did not give any further details.