Tag Archives: International trade

11Aug/17

Africa-U.S. AGOA trade talks end with no decision, waning enthusiasm

Togo hosted an annual conference on the African Growth and Opportunities Act (AGOA) this week, bringing together various stakeholders from African nations and the United States. In 2015, the US Congress renewed the zero tariff deal for 10 years. Analysts have questioned how the programme will fare under U.S president Donald Trump’s presidency, given his “America First” campaign, that has seen him withdraw from various international trade deals.

SHOWS: LOME, TOGO (AUGUST 09, 2017) (REUTERS) – Talks between African and U.S. officials to review the African Growth and Opportunity Act (AGOA) free trade deal ended on Thursday (August 10) with no decision and a feeling of all sides that it had achieved little since it was set up.

President Donald Trump’s top trade negotiator Robert E. Lighthizer and other U.S. officials have been in the tiny West African nation of Togo over the past two days to discuss the Clinton-era trade pact with sub-Saharan Africa.

Trump’s “America First” campaign has seen him withdraw from the Trans Pacific Partnership, threated to tear up the North American Free Trade Agreement (NAFTA) and seek to renegotiate the U.S.-South Korea free trade deal.

But his administration has said little about Africa, and had not previously mentioned the 2000 AGOA trade agreement. It is not clear whether the U.S. wants to change the deal before it expires in 2025 or extend it further – no decision was made on either count.

AGOA allows tariff-free access for thousands of goods from 38 African nations to U.S. markets.

But few African economies can take advantage of a U.S. trade initiative providing to the world’s largest market because they have little to export beyond commodities, an asset class where prices are in free fall.

Togo’s minister of commerce Bernadette Legzim-Balouki said that although not all the countries eligible have benefited from the law, the agreement allowed Africa to access the US market and that member countries will examine the constraints that prevent some African countries from profiting.

“2025 was the year that the AGOA agreement will officially came to an end. If the United States decides not to extend the agreement, does that mean that our trade relationship with the U.S must also come to an end? Not at all! African entrepreneurs and other stakeholders were able to have access to the US market. They have straightened their partnerships with economic partners in the U.S. A door has been opened, a relationship was established between the US and African countries,” she said.

Legzim-Balouki also said that the United States and the nations eligible for AGOA had agreed on some loose aims, including: to develop a better plan to take full advantage of the pact, for each eligible country to have bilateral talks with the United States, and the need for a mechanism to protect African producers from price volatility.

US officials at the forum said that the number of countries benefiting from AGOA was very limited, as is the number of sectors, adding that they will see if the situation improves in the coming years, but it is also up to the beneficiary countries to enhance their business climate.

“The AGOA programme was renewed for ten years by congress by a large margin. That means that we have 8 years of the law in place. It’s true that the environment has changed, and we are currently studying the best ways for African countries to benefit from AGOA,” said Peter Barlerin a representative of the US state department.

The U.S. trade deficit with the AGOA countries shrank to about $7.9 billion last year from a peak of $64 billion in 2008, as U.S. shale oil production increases have lessened the need for oil imports from major exporters Nigeria and Angola.

12May/17

In blow to Trump, GE backs NAFTA and plans growth in Mexico

MONTERREY, NUEVO LEON, MEXICO (MAY 12, 2017) (REUTERS) – General Electric Co’s chief executive on Friday (May 12) praised Mexico as a big part of its future growth and said the company is “very supportive” of the North American Free Trade Agreement (NAFTA) that U.S President Donald Trump has threatened to ditch.
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27Apr/17

Trump open to renegotiating NAFTA

U.S. President Donald Trump says he is open to renegotiating NAFTA with Canada and Mexico, rather than scrapping the pact.

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21Jan/17

Mexicans build makeshift wall around US embassy in Trump protest

Demonstrators in Mexico City use boxes to build a makeshift wall outside the US embassy to protest new US President Donald Trump. Continue reading

17Jan/17

Trump Commerce nominee Ross outsourced 2700 jobs

Wilbur Ross, President-elect Donald Trump’s choice to run the Department of Commerce, has a long record of outsourcing American jobs, counter to Trump’s message o protecting US jobs as a candidate. Andy Sullivan reports. Continue reading

22Nov/16

Trump’s announcement to sink Asia trade pact will hurt U.S.’s reputation, analysts say

Analysts say Trump’s announcement the U.S. will withdraw from the TPP (Trans Pacific Partnership) will hurt America’s ability to negotiate trade deals in the future, might impact US companies across different sectors.

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16Nov/16

New era for Global trade gets underway at APEC

The Asia-Pacific Economic Cooperation Summit in Lima from November 19-20 will take place just two weeks after the election of Donald Trump affirming his protectionist trade policies, and killing off any chance for a U.S. pivot to Asia through TPP. One expert says the result will be a heightened profile for Asia in Latin America.

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07Jan/16

Oil: how low can it go?

Oil slides below $33 a barrel to levels not seen in more than a decade, as a tumble in Chinese equities rattles investors already concerned by near-record production and massive stockpiles of unwanted crude. David Pollard reports. Continue reading

30Nov/15

IMF approves China’s yuan for benchmark currency basket

International Monetary Fund chief Christine Lagarde announces the Chinese Yuan will be added to the Special Drawing Rights (SDR) basket alongside the dollar, euro, pound sterling and yen.
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