Kenya’s trade relationship with the United States suffered a setback on Wednesday after former US President Donald Trump signed a new executive order imposing reciprocal tariffs on trade with Kenya.
Under the newly signed order, Kenya’s Ksh109.7 billion ($784 million) trade with the US will be impacted by a 10 percent baseline tariff on all exports. The move is expected to affect key sectors such as textiles, tea, and coffee, which have long enjoyed tariff exemptions under the African Growth and Opportunity Act (AGOA).
The new tariffs could result in reduced exports, potential job losses, and decreased revenues for businesses dependent on the US market. As stakeholders assess the implications of the policy shift, concerns are mounting over the future of Kenya’s trade with one of its largest export partners.
