The United State of America had on December 23 terminated Ethiopia’s eligibility to gain or benefit under the African Growth and Opportunity Act (AGOA) citing its disapproval from the war in the Tigray region
While reacting to this decision made by the US, Ethiopia’s trade ministry has come out to air their displeasure on the decision and said, that the Ethiopians are unhappy with the Biden administration’s decision to revoke duty-free for the country’s exports.
The trade ministry for the Ethiopians furthered that it was saddened over the decision and asked the Biden administration to reconsider it.
The African Growth and Opportunity Act
The trade pacts give Sub-Saharan African countries duty-free access to the United States on the condition they meet some specific requirements such as; eliminating barriers to U.S. trade and making progressive efforts toward political pluralism
For the past 5 years, Ethiopia has become one of Africa’s fastest-growing economies. Unfortunately, due to the current violence happening in the State, some Ethiopian industries, companies, or organizations are already showing signs of a downturn in their export business.
The almost a year war was caused by the Tigray’s people liberation movement which was opposed by the military and has ever since its eruption (war), led to the displacement of an estimated 1.7 million people.
This similar decision made by the US has also been made to stop Guinea andMali from being part of the beneficiary of the AGOA
