As the clock ticks toward the expiry of the African Growth and Opportunity Act (AGOA), Kenya and the United States are intensifying negotiations over a reciprocal trade agreement that could reshape the future of their economic partnership.
- Kenya and the United States are negotiating a new trade agreement as the AGOA expiration looms.
- AGOA has historically offered African countries duty-free access to the US market, benefiting key industries.
- Kenya aims to secure a reciprocal agreement to ensure market access and attract US investment.
- Success could set a template for future African trade engagement with the United States under bilateral terms.
A high-level Kenyan delegation headed to Washington in a last-minute effort to secure a new trade agreement with the United States, as the African Growth and Opportunity Act (AGOA) approaches its expiration.
The talks come at a critical moment, with Nairobi seeking to protect its key exports and expand market access, while also capitalizing on President Trump’s recent decision to spare Kenya from the steep tariff hikes imposed on many other nation
For over two decades, AGOA has offered African countries duty-free access to the US market, boosting industries from textiles to agriculture.
But with Washington signaling a shift toward bilateral deals, Kenya is positioning itself as a trailblazer on the continent seeking to secure market access even as new tariffs threaten to undermine its exports.
If concluded, the new agreement is expected to strengthen Kenya’s export prospects and attract greater investment from American firms.
The push comes after President Trump spared Kenya from steeper tariff hikes in the latest round of trade measures, allowing Nairobi to continue facing the lowest 10 percent rate while many other countries were hit with much higher duties.
As part of efforts to strengthen bilateral relations with the United States, Kenya’s Trade Cabinet Secretary Lee Kinyanjui led a high-level delegation to Washington, D.C., for talks with United States Trade Representative (USTR) Ambassador Jamieson Greer.
According to the government, the meeting marked an important step toward securing a formal trade pact.
Kinyanjui explained that the discussions built on his earlier engagements with Ambassador Greer in March 2025, as well as a separate round of talks held by Prime Cabinet Secretary Musalia Mudavadi in May.
“Kenya is deeply interested in the commencement of formal negotiations with the United States Government. A reciprocal trade agreement is crucial for securing long-term access to the US market for Kenyan products and will provide the stability needed to unlock new investments,” Kinyanjui said.
Responding, Ambassador Greer welcomed Kenya’s efforts to rebuild and advance a mutual trade pact, emphasizing that the United States was committed to fostering a stronger, more balanced trading relationship with Nairobi.
“We applaud Kenya’s focus on strengthening trade with the United States. Let’s build a partnership that leverages the growth of the manufacturing sector in America while providing a market for Kenyan products that cannot be sourced locally,” Greer said.
Kenya’s trade situation with the US
Kenya has been pursuing a trade pact with the United States since July 2022, when the two governments launched the Strategic Trade and Investment Partnership (STIP).
The initiative seeks to boost investment, promote sustainable and inclusive growth, benefit workers and businesses including small enterprises, and support Africa’s regional economic integration through high standard commitments that reflect shared goals and values.
With President Donald Trump’s 10 per cent tariff on Kenyan exports already testing trade flows, Nairobi’s urgency reflects both the risks of overreliance on a single market and the opportunities in rethinking Africa–US trade relations.
In 2024, Kenya exported goods worth $737.3 million (Ksh95.3 billion) to the United States, mostly apparel, coffee and tea, according to the Office of the U.S. Trade Representative. The agency also notes that Kenya remains eligible for AGOA benefits this year, including duty-free access for textiles and apparel.
The outcome of the current negotiations will likely serve as a test case, shaping not only Kenya’s future access to the US market but also broader questions about how African economies should navigate the post AGOA era in a world increasingly defined by protectionism and bilateral trade agreements.
