Trump Targets Rwanda With New Trade Rules
Donald Trump claims Rwanda's ban on American used clothing is hurting US interests.
Donald Trump will suspend duty-free clothing imports from Rwanda, following the country's decision to ban US second-hand clothing exports, reports Business Daily Africa.
Trump made the announcement in a letter on Thursday, in which he stated that "Rwanda's duty-free status for apparel will end in 60 days if no corrective actions are taken."
Adding that Rwanda's refusal of secondhand clothing from the United States defies the requirements set in the African Growth and Opportunity Act (Agoa), which gives specified African nations duty-free trade access to the US under certain conditions. One of them being removing barriers to trade and investment from the US.
Tanzania and Uganda also faced possible suspension, after a petition was raised by secondhand retailers claiming that a tariff on their goods in the aforementioned countries would harm the industry. Both Tanzania and Uganda removed such tariffs and remain part of Agoa.
With these sorts of trade "agreements" put in place, African countries face a unique dilemma. Rwanda was in a disadvantageous position whether it chose to remain part of Agoa or not. Is this what happens when African governments make even the slightest attempt to exert economic power over their own countries? According to both Trump and history, the answer is a resounding yes.