Kenya ‘agreed’ to enter into a trade agreement with the US

Kenya 'agreed' to enter into a trade agreement with the US
Kenya with US

President Uhuru Kenyatta, of Kenya. Says the country is willing to sign a new trade agreement with the US. Pending a shift in the presidency of the United States.

The two countries initiated trade negotiations in July 2020.

But in November, the US voted Republican President Donald Trump out of office. And his successor, Democrat Joe Biden, has just been inaugurated as president.

The deal, if signed, will be the first between the US and a sub-Saharan African country. And will replace the African Growth and Opportunity Act (Agoa), which allows Kenyan exports into the US without paying duties, or taxes.

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In 2025, Agoa is expected to expire.

There was concern that an agreement between the two sides would weaken established trade protocols with regional bodies. Such as the East African Community.

It remains unclear, whether Mr Biden’s administration will continue with the bilateral talks. or will instead forge a multilateral trade approach. Such as with the Africa Continental Free Trade Area (AfCFTA).

But observers expect the US’s new administration, to adopt a new policy that will be more beneficial towards African countries. Compared to that of “America First” under Mr Trump.

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Kenya exported goods worth, more than $600m (£440m) to the US in 2019. while the US exported goods worth over $400m to Kenya.

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