United States President Donald Trump has said that exports from Nigeria would attract a 14 per cent tariff.
The president announced this yesterday (Wednesday) at the White House, saying that the US had been taken advantage of by “cheaters” and had been “pillaged” by foreigners.
“Our taxpayers have been ripped off for more than 50 years, but it is not going to happen anymore. It’s our declaration of economic independence,” BBC quoted Trump as saying.
He added while holding up a chart showing a list of countries that charge higher tariffs on US goods, impose “non-tariff” barriers to US trade or have otherwise acted in ways US officials feel undermine American economic goals.
According to the Trump administration, Nigeria imposes a 27 per cent tariff on U.S. exports, a disparity the U.S. claims has long been detrimental to American businesses and consumers.
Trump also announced a minimum of 10% tariff on all imports to the US and additional “reciprocal tariffs” for dozens of African countries, including 30% for South Africa.
Other African countries hit with extra tariffs include 50% for Lesotho, 47% for Madagascar, 40% for Mauritius and 37% for Botswana.
Kenya, Ghana, Ethiopia, Tanzania, Uganda, Senegal and Liberia were among those countries which will have to pay the baseline tariff of 10%.
Trump said the reciprocal tariffs were “for countries that treat us badly”.
South Africa is included in the long list of countries dubbed the “worst offenders”, which also involve China, Japan and the European Union – that now face higher US rates – payback for unfair trade policies, Trump said.
According to the list, South Africa charges 60% on US imports – although this is not just tariffs – and in turn, Trump said his country would implement a “discounted” 30% tariff on South Africa – one of Africa’s biggest and most developed economies.
“They have got some bad things going on in South Africa. You know, we are paying them billions of dollars, and we cut the funding because a lot of bad things are happening in South Africa,” he said, before going on to name other countries.
In a statement, the South African presidency condemned the new tariffs as “punitive”, saying they could “serve as a barrier to trade and shared prosperity”.
Madagascar, the African hit hardest by the new tariffs, charges US imports 93%, according to Trump’s chart. Nigeria levies US imports 27%, Botswana 74%, Angola 63% and Namibia 42%.
The White House released a list of roughly 100 countries and the tariff rates that the US would impose on what Trump dubbed “liberation day” for the American people.
The US is expected to start charging the 10% tariffs on 5 April, with the higher duties for certain nations starting on 9 April.
African countries like South Africa, Nigeria, and Kenya have long had open trade agreements with the US, and the new tariffs could significantly affect existing economic ties.
The tariffs come as many African countries are already grappling with the effects of US foreign aid cuts, which provided health and humanitarian assistance to vulnerable countries.
Trump announced the aid freeze on his first day in office in January as part of a review into the US government spending.
