US President Donald Trump has said that he won't back down on his sweeping tariffs on imports from most of the world, despite his move sending shockwaves through financial markets, raising fears of a recession and disrupting the global trading system.
While Trump claims that world leaders are "dying to make a deal" with the U.S., his actions have left many nations scrambling to respond.
African countries, in particular, face a complex and challenging situation, with each nation adopting a unique strategy to navigate this unprecedented trade storm.
Trump's tariff policy has been characterised by an assertive approach in which he’s declared, "There's no talk unless they pay us a lot of money on a yearly basis," signalling a departure from traditional diplomatic negotiations.
The US said more than 50 countries had reached out to the Trump administration to negotiate deals over the tariffs, highlighting the widespread concern and the potential for significant shifts in global trade dynamics.
Zimbabwe's measure
Zimbabwean President Emmerson Mnangagwa has taken a bold step, announcing plans to suspend all tariffs on US imports in a bid to boost American imports and promote Zimbabwean exports to the US. Under the Trump new policy, Zimbabwe faces an 18% tariff hike.
“This measure is intended to facilitate the expansion of American imports within the Zimbabwean market while simultaneously promoting the growth of Zimbabwean exports destined for the United States. This action underscores our commitment to a framework of equitable trade and enhanced bilateral cooperation,” Mnangagwa said in his announcement on X.
Lesotho team rushes to US
For Lesotho, the situation is particularly precarious. With a significant portion (45%) of its exports, primarily textiles, destined for the U.S., the country now confronts a daunting 50% reciprocal trade tariff. This staggering figure threatens to obliterate nearly half of Lesotho's export capacity.
Trade Minister Mokhethi Shelile has assembled a delegation to engage directly with the U.S. in a desperate attempt to mitigate the potential economic devastation. The numbers paint a stark picture: Lesotho's exports to the U.S. reached $237 million in 2024, constituting over a tenth of its total GDP. The new tariffs cast a long shadow over the nation's economic stability.
South Africa's cautious approach
South Africa, a major player on the African continent, is adopting a more measured approach. Rather than immediate retaliation, the nation will prioritise negotiations to secure exemptions and favourable quota agreements.
“They have imposed tariffs, and we are examining the impact of those tariffs on us, and… we will be able to state what our position is,” Ramaphosa told local journalists at an ANC political party event on Sunday.
The 31% tariff on South African goods going to the US has raised concerns about losing benefits under the African Growth and Opportunity Act (AGOA) – an initiative that exempts some African countries from US tariffs on certain goods.
Madagascar, one of the poorest nations in the world, faces a 47% tariff on its $733 million exports of vanilla, metals, and apparel to the US.
The government is engaging with the US through diplomatic and commercial mechanisms, seeking a review of the tariffs. As the situation unfolds, African countries are being forced to diversify their export markets and explore new opportunities.
Nigeria’s wake-up call
The Malagasy government is actively pursuing diplomatic and commercial channels to seek a review of these tariffs, highlighting the widespread disruption and economic strain caused by the new trade landscape.
Nigeria's Minister of Industry, Trade and Investment, Jumoke Oduwole, acknowledged the tariffs, stating that the nation "considers the United States a valued trade and investment partner, bound by shared values and mutual economic interests.”
Oduwole's statement, however, also emphasised the potential positive takeaway from the announcement with a call for African nations to fully develop intra-African trade.
“It also signals for Africa—and Nigeria in particular—the urgent need to enhance intra-African trade through the African Continental Free Trade Area (AfCFTA), reinforcing the case for Nigeria’s accelerated implementation of the AfCFTA, deepening regional integration, and leveraging frameworks like the Pan-African Payment and Settlement System (PAPSS) to lower trade costs and promote intra-African trade,” Oduwole said.
Call for diversification
The imposition of U.S. tariffs has served as a stark reminder of the vulnerabilities associated with relying heavily on a single export market.
African nations are now being compelled to aggressively diversify their trade relationships and explore new opportunities.
Analysts say this strategic shift is not merely a reactive measure but a proactive step towards building more resilient and sustainable economies.
The outcome of these efforts will have far-reaching implications for the economic future of these nations.