Is Kenya Mulling New Trade Pact with the US Ahead of AGOA Expiry?

Is Kenya Mulling New Trade Pact with the US Ahead of AGOA Expiry?

  • Kenya and the United States are moving closer to a reciprocal trade agreement ahead of the AGOA expiry in September 2025
  • Trade CS Lee Kinyanjui met with US Trade Representative Ambassador Jamieson Greer in Washington, DC, to advance negotiations
  • Kinyanjui said a formal trade pact would provide long-term market access for Kenyan products and unlock investment opportunities for US firms

Washington DC, USA – Kenya may be positioning itself for a new bilateral trade pact with the United States as the African Growth and Opportunity Act (AGOA) inches closer to its scheduled expiry in September 2025.

Kinyanjui said the government will commence trade talks with the US.
Trade CS Lee Kinyanjui with the United States Trade Representative (USTR), Jamieson Greer, in Washington, DC, on 20/08/2025. Photo: Lee Kinyanjui.
Source: Twitter

In a high-level meeting held this week in Washington DC, Kenya’s Cabinet Secretary for Investments, Trade and Industry, Lee Kinyanjui, led a delegation for discussions with US Trade Representative (USTR) Ambassador Jamieson Greer.

The talks marked a significant step toward what could be a new, reciprocal trade agreement between President William Ruto's government and Donald Trump's administration.

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“This meeting builds on earlier engagements, including talks I held with Ambassador Greer in March and those held by Prime Cabinet Secretary Musalia Mudavadi in May.

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“Kenya is deeply interested in commencing formal negotiations. A reciprocal agreement will provide the certainty and market access we need to unlock investment and economic growth,” said Kinyanjui.

Why Kenya seeks new trade deal with the US

The bilateral discussions came amid uncertainty over the future of AGOA, a trade preference program that allows duty-free access for African exports into the US market.

AGOA, which has been a key driver of Kenya’s textile and horticulture exports since its inception in 2000, is set to expire in September 2025 unless renewed by the US Congress.

Kenya’s pursuit of a reciprocal trade deal signals its intent to reduce dependency on AGOA and establish a more permanent framework for US market access.

In 2024, trade volumes between the two countries stood at $1.5 billion (KSh 193.8 billion), underscoring the importance of the economic relationship.

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Ambassador Greer welcomed Kenya’s initiative and emphasised the shared benefits of closer economic ties.

“We applaud Kenya’s focus on strengthening trade with the United States. Let’s build a partnership that supports American manufacturing while providing a reliable market for Kenyan products,” he said.

While AGOA remains a critical bridge for African exports, its limited duration and uncertain renewal prospects have prompted Kenya to seek more predictable trade instruments.

Industry stakeholders in both nations have expressed support for a long-term agreement that can attract investment, particularly in sectors like textiles, ICT, agribusiness, and pharmaceuticals.

The Kenyan delegation included Principal Secretary for Trade Ms. Regina Ombam, Kenya’s Ambassador to the U.S., David Kerich, Deputy Chief of Mission Amb. Christopher Kirigua and supporting technical teams.

Ruto called US Secretary of State Marco Rubio.
President William Ruto speaking at a past event. Photo: William Ruto.
Source: Facebook

Ruto’s push for the US-Kenya trade deal

President Ruto, through the Cabinet Secretary, reaffirmed his administration’s commitment to deepening trade and investment cooperation with America.

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William Ruto calls Donald Trump administration for trade talks ahead of AGOA expiry

Ruto previously called for renewed trade talks with the country, appealing to President Donald Trump’s administration to resume stalled negotiations on the US-Kenya Strategic Trade and Investment Partnership (STIP), which was initiated in 2020.

The head of state called the US Secretary of State Marco Rubio in a conversation that focused on bilateral ties between the two countries.

Proofreading by Jackson Otukho, copy editor at TUKO.co.ke.

Source: TUKO.co.ke

Authors:
Wycliffe Musalia avatar

Wycliffe Musalia (Business Editor) Wycliffe Musalia is a Business Editor at TUKO.co.ke, with over six years of experience in digital media. He holds a Bachelor of Arts in Linguistics, Media and Communication from Moi University. Before joining TUKO.co.ke, Musalia worked as an editorial intern at Standard Media Group. Musalia has completed the full Google News Initiative (GNI) News Lab Advance digital reporting workshop. He has also undergone Procurement Fraud and Public Finance Management Training conducted by the Kenya Editors’ Guild. You can get in touch with Musalia via mail: wycliffe.musalia@tuko.co.ke.

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