South Africa cracks the USA’s list

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The Office of the United States’ Trade Representative has published the list of countries that are eligible to benefit from the African Growth and Opportunity Act (AGOA) in 2024 – and South Africa cracked the list.

This comes despite rising tensions between the United States and South Africa on the geopolitical front, as well as a heavily politicised 2023 where the governing ANC found itself at odds with the US on several important matters.

According to the US office, South Africa is one of 32 countries that are eligible for AGOA benefits in 2024, with the overall Act set to expire in September 2025.

The Act is reportedly set to be renewed, with Bloomberg reporting a “preliminary agreement” in place for the benefits to continue for another ten years.

South Africa’s place in AGOA was a hot topic in 2023, after the country’s relationship with the world’s largest economy came under severe strain due to allegations from US Ambassador Reuben Brigerty that South Africa had supplied arms to Russia.

Following the controversy, several US lawmakers – both Democrats and Republicans – wanted South Africa expelled from AGOA.

Continued eligibility for South Africa will come as good news for two sectors in particular – agriculture and transportation – which benefit to the tune of billions from the agreement.

However, while South Africa’s eligibility in AGOA is safe for now, tensions still persist.

South Africa’s decision to haul Israel – a key US ally – before the International Court of Justice over allegations of genocidal intent towards Gaza has sparked some concerns that Pretoria is again flirting with messy geopolitical matters at the risk of its partnerships with the West.

The expulsion of certain African nations from AGOA eligibility in 2024 already shows that the US is willing to cut out those who do not entirely agree with its values or toe certain lines.

According to US president Joe Biden, countries like the Central African Republic, Gabon, Niger, and Uganda were specifically booted from the agreement as they did not meet the eligibility requirements of section 104 of the AGOA.

Section 104 of AGOA includes requirements that the country has established or is making continual progress toward establishing, among other things:

  • A market-based economy;
  • The rule of law, political pluralism, and the right to due process;
  • The elimination of barriers to U.S. trade and investment;
  • Economic policies to reduce poverty;
  • A system to combat corruption and bribery;
  • and the protection of internationally recognized worker rights.

However, the section also stipulates that eligible countries “may not engage in activities that undermine U.S. national security or foreign policy interests or engage in gross violations of internationally recognized human rights”.

It is this clause that most analysts and commentators worry South Africa will run afoul of when AGOA reviews come up – with South Africa widely seen as being, at the very least, a tacit supporter of Russia, and the ANC being an outspoken supporter of Palestine (and hosting Hamas in particular).

Here is the full list of countries that are eligible for AGOA in 2024, as well as those that have been deemed ineligible.

Eligible 2024

Angola The Gambia Namibia
Benin Ghana Nigeria
Botswana Guinea-Bissau Rwanda
Cabo Verde Kenya Sao Tome & Principe
Chad Lesotho Senegal
Comoros Liberia Sierra Leone
Republic of Congo Madagascar South Africa
Democratic Republic of Congo Malawi Tanzania
Cote d’Ivoire Mauritania Togo
Djibouti Mauritius Zambia
Eswatini Mozambique

Ineligible 2024

Burundi Ethiopia Somalia
Burkina Faso Gabon South Sudan
Cameroon Guinea Sudan
Central African Republic Mali Uganda
Equatorial Guinea Niger Zimbabwe
Eritrea Seychelles

Read: Storm clouds gathering for South Africa

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