Washington, DC — WASHINGTON—U.S. Senator Chris Coons (D-Del.) released a discussion draft of the AGOA Renewal Act of 2023that would extend and enhance the African Growth and Opportunity Act (AGOA), the cornerstone of the United States’ economic relationship with sub-Saharan Africa.
“For over 20 years, AGOA has created valuable opportunities for U.S. businesses, workers, and consumers while supporting sustainable economic growth in sub-Saharan Africa,” said Senator Coons. “My AGOA Renewal Act would extend this program, incentivizing investments that will create jobs, bolster economic development, and strengthen our standing in the region. I look forward to working with my colleagues in the Senate to get this done.”
The AGOA Renewal Act would extend AGOA until 2041. This long-term extension would provide businesses with the predictability needed to invest in sub-Saharan Africa at a time when many firms are looking to diversify their supply chains and reduce dependence on China. Increased investment by U.S. businesses in sub-Saharan Africa supports regional economic growth and development and strengthens the United States’ position on the continent.
The bill would also improve AGOA by strengthening its positive impact on economic growth and development and streamlining the program’s administration. Notably, the bill would integrate AGOA with the nascent African Continental Free Trade Agreement, helping support the development of intra-African supply chains. More details about the bill are available in this one-pager.
AGOA was established by Congress in 2000 and most recently reauthorized in 2015. The program provides tariff-free access to the U.S. market for exports of most products from most countries in sub-Saharan Africa. Currently, 35 beneficiary countries are eligible. Eligibility depends on favorable annual reviews of a country’s trade and investment policy, governance, worker rights, human rights, and other conditions. Last week, President Biden released a statement strongly supporting the reauthorization of AGOA.
As a member of the Senate Foreign Relations Committee, Senator Coons has long advocated for legislation that advances U.S. foreign policy and security interests, supports global economic development, and reinforces our alliances and partnerships.
The text of the discussion draft is available here.
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Publish date : 2023-11-06 21:06:58
