Lesotho Secures Promised One-Year Extension of AGOA Trade Act
Mokhethi Shelile announced the United States plans to extend the African Growth and Opportunity Act by one year following a high-level trade delegation to Washington.
Trade and Industry Minister Mokhethi Shelile announced that the United States plans to extend the African Growth and Opportunity Act (AGOA) by one year, providing critical relief to Lesotho's textile industry. The announcement follows a trade delegation's visit to Washington from September 15–19, where officials met with the House Ways and Means Committee and the Senate Finance Committee. Shelile stated that U.S. lawmakers promised the extension would come into force by December at the latest.
The move follows a period of severe economic instability. President Donald Trump introduced global tariffs on April 4, initially hitting Lesotho with a 50% tariff—the highest worldwide—before reducing it to 15% in August. The textile sector, which employs 12,000 people and supports 40,000 indirect jobs, faced significant cuts due to these levies. Without the AGOA renewal, Lesotho faces potential total tariffs of 31% on exports to the U.S.
Despite the promised extension, some U.S. officials have noted a lack of formal communication. Senator Ron Wyden and other Senate Finance Committee Democrats reported that the Trump administration has not yet formally briefed them on its official position. In response to this uncertainty, the Government of Lesotho is diversifying its trade by opening 14 new firms for regional markets and pursuing partnerships with Nigeria, Japan, and the European Commission.
Similar concerns were echoed in Kenya, where the National Assembly passed a motion urging a 16-year extension of AGOA to protect jobs, noting that women comprise approximately 75 percent of the act's direct beneficiaries.
