The US House of Representatives has approved a three-year extension of the African Growth and Opportunity Act (AGOA), a trade programme that gives many sub-Saharan African countries duty-free access to US markets.

The bill was backed by a large majority in the House, with 340 lawmakers voting in favour and 54 voting against. It now heads to the US Senate, where the next decision will shape what happens next for participating countries.

AGOA Extension Vote Puts Bill in Senate Hands

The extension follows months of uncertainty after AGOA lapsed, which economists and trade experts warned could disrupt exports, strain businesses, and weaken trade ties with the United States. The renewal vote in the House is a major step, but it is not the final one.

The Senate must still consider the legislation, and that process is now the key pressure point for South Africa.

Why South Africa Faces Added Scrutiny

South Africa’s position is complicated by ongoing trade and diplomatic tensions with Washington. These include disputes around market access and concerns raised in the US about South Africa’s military exercises with China, Russia, and Iran.

In the lead-up to the House vote, it was reported that South Africa asked Iran to withdraw from the joint naval exercise “Will for Peace” in False Bay, in what was seen as an attempt to avoid escalating tensions.

Senior US lawmakers have also questioned South Africa’s stance of non-alignment, arguing that closer military ties with US adversaries could affect how Washington views the country’s place in the programme.

What’s at Stake for Jobs and Exports

AGOA has real economic impact for South Africa. In 2023, South Africa exported about R66 billion worth of goods to the US under AGOA.

For local exporters, the big issue now is certainty. The House vote brings the programme closer to being restored, but South Africa’s continued participation is still not locked in until the Senate process plays out.