United States President Donald Trump has signed a proclamation extending the African Growth and Opportunity Act (AGOA), keeping duty-free access for Kenya to the American market alive until December 31, 2026.

🇰🇪 Breaking It Down

The extension was signed in May 19 and formally amends section 506B of the Trade Act of 1974, a statutory law that governs how the U.S. conducts business with other nations to ensure beneficiary sub-Saharan African countries retain preferential trade access.

“Section 5019(a)(1)(A) of the Consolidated Appropriations Act, 2026 (Public Law 119-75), amended section 506B of the Trade Act of 1974 (the “Trade Act”) (19 U.S.C. 2466b), as amended, and section 5019(a)(1)(B)(i) of the Consolidated Appropriations Act, 2026, amended section 112(g) of the African Growth and Opportunity Act (the “AGOA”) (19 U.S.C. 3721(g)), to provide that in the case of a beneficiary sub-Saharan African country, duty-free treatment provided under title V of the Trade Act shall remain in effect through December 31, 2026,” stated the embassy.

For Kenya, this means that this declaration will impact over 6,500 product lines involved in the AGOA agreement, thus not only giving Kenyan exporters business relief but also a competitive edge in one of the world’s lucrative business environments.

📌 What You Need to Know

Textiles and apparel account for more than 90 per cent of Kenya's AGOA exports, supporting over  80,000 direct jobs in Export Processing Zones (EPZs) across Nairobi, Mombasa, and Athi River.

A key provision preserved by this extension is the  third-country fabric rule , which allows Kenyan manufacturers to source fabric from countries such as China or India, sew garments locally, and still qualify for duty-free entry into the U.S. market.

Beyond clothing, Kenyan farmers also stand to benefit directly. Agricultural products, including coffee, black tea, macadamia nuts, fresh flowers, fruits, and vegetables, continue to enjoy duty-free entry into American supermarkets under the extended deal.

Kenya currently exports an estimated USD730 to USD830 million worth of goods annually to the United States, approximately Ksh94.5 billion to Ksh107.5 billion, with a significant portion of these export revenues likely to be affected by the new directive.

Despite this, some sectors of the Kenyan market have struggled to enter the U.S. market, such as horticulture, processed foods, floriculture, and meat exports, which face significant barriers there.

This, according to the Sanitary and Phytosanitary Standards Constraints in Kenya, is attributed to high Food and Drug Administration (FDA) interception rates, pesticide Maximum Residue Limits, quarantine pest concerns, and rigorous phytosanitary inspections, making it considerably more challenging to penetrate the American market than for established European counterparts.

📰 Source: Kenyans.co.ke