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Ethiopia Prepares to Reopen Trade Talks with Trump Administration After AGOA Suspension

Ethiopia Prepares to Reopen Trade Talks with Trump Administration After AGOA Suspension

Taha Sakr
Last updated: July 10, 2025 4:08 pm
By Taha Sakr 3 Min Read
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Ethiopia is preparing to enter negotiations with the United States in a bid to rejoin the African Growth and Opportunity Act (AGOA) and secure a new trade framework following its suspension from the preferential trade program.

The Ministry of Trade and Regional Integration confirmed that talks with the U.S. government are expected to focus on restoring duty-free access for Ethiopian exports, which was revoked in recent years due to human rights concerns during the northern Ethiopia conflict.

AGOA, a longstanding U.S. trade initiative, offers African nations the ability to export goods to the U.S. market tariff- and quota-free. Ethiopia lost its AGOA privileges in 2022 after the U.S. cited credible reports of human rights abuses during the Tigray conflict. The suspension has dealt a heavy blow to Ethiopia’s textile and leather sectors, which previously benefited from the agreement.

Now, with Donald Trump back in office, Ethiopian officials are reportedly preparing to engage his administration on new trade terms. The Trump administration has not yet officially responded to Ethiopia’s request to begin talks. However, concerns have been raised over the former president’s well-known “America First” approach, which emphasizes transactional diplomacy and demands tangible returns for U.S. interests.

According to officials, negotiations will also address a recently imposed 10% tariff on Ethiopian goods entering the U.S. market. The Ministry of Trade noted that restoring duty-free access under AGOA, or securing alternative trade terms, is essential to protecting Ethiopia’s export competitiveness and economic growth.

Local media reports indicate that the Ethiopian side is preparing a formal proposal for submission to U.S. authorities via the Ministry of Foreign Affairs. The proposal is expected to outline Ethiopia’s readiness to align with certain U.S. interests in key sectors such as agriculture, textiles, and light manufacturing—areas identified by the Trump administration for greater scrutiny.

President Trump has previously linked tariff relief to concessions that advance U.S. strategic goals. During his first term, his administration imposed punitive tariffs on several countries and pushed for renegotiated trade deals favoring U.S. industry. In recent remarks, Trump stated that any trade partner seeking benefits “must prioritize American jobs and industry,” signaling a potentially tough stance.

While no official start date for the negotiations has been confirmed, Ethiopian officials say discussions will prioritize “national interests” while seeking to rebuild trade ties with Washington.

The outcome of the talks may determine whether Ethiopia can regain access to the AGOA framework—or instead face a more restrictive bilateral agreement shaped by Trump’s aggressive trade agenda.

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