Earlier this month, US Senator Chris Coons publicly released a discussion draft for proposed legislation that would extend the African Growth and Opportunity Act (Agoa) beyond 2025.
Among other things, the discussion draft calls for a change in Agoa’s rules of origin that would permit inputs from African Continental Free Trade Agreement (AfCFTA) members “to count toward the requirement that 35% of a product’s value originate in the region”. This would benefit north African countries who are not eligible for preferential trade benefits under Agoa.
The U Mission to the US has been advocating for the expansion of Agoa to all AU member states.
Although the discussion draft does not go that far, the proposed extension in the rules of origin would probably strengthen the economic integration of Africa. And that would align with the Agreement Establishing the AfCFTA.
Source: IOL