Johannesburg — A new bill introduced in the US Senate could block South Africa from the African Growth and Opportunity Act (AGOA), the trade programme that has allowed the country preferential access to the US market for 25 years.
Senator John Kennedy tabled the AGOA Extension and Bilateral Engagement Act, also called AGOA 2.0, at the end of September, coinciding with the lapse of the current AGOA framework. The bill proposes a two-year renewal of AGOA but limits participation to countries considered aligned with US interests, effectively excluding South Africa.
The Department of Trade, Industry and Competition (DTIC) revealed the bill during a presentation to South Africa’s parliamentary portfolio committee on 25 November. The department said trade negotiations with the US are ongoing and noted that there is bipartisan support for a short-term AGOA renewal. Officials also acknowledged that a one-year rollover could allow South Africa to remain in the programme.
Kennedy has argued that AGOA must counter China’s growing influence in Africa. He said countries that align with Beijing, Moscow, and other US rivals must be held accountable, and the bill incorporates the US-South Africa Bilateral Relations Review Act to review Pretoria’s geopolitical stance.
The legislation would extend AGOA for two years, set strict eligibility criteria including democratic governance and human rights, and require a US strategy for negotiating bilateral agreements with select African countries. If passed, the bill also calls for a review of US-South Africa relations and sanctions eligibility for South African officials under the Global Magnitsky Act.
Tensions between Washington and Pretoria have escalated under the Trump administration, peaking during the recent G20 Leaders’ Summit, where South Africa joined other leaders in issuing a declaration despite US opposition. Pretoria also declined to hand the G20 gavel to the US ambassador, who will reportedly receive it in a lower-level ceremony on 25 November.
The bill is currently with the Senate Committee on Finance, with further action pending after the recent US government shutdown ended.
The bill can be read below:
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