Addis Abeba — The United States Congress has cleared a two-year extension of the African Growth and Opportunity Act (AGOA) through 31 December 2028, providing temporary continuity for eligible African exporters, while Ethiopia’s prospects of regaining access to the preferential trade program remain uncertain.
The U.S. House of Representatives on 1 September approved the measure by a bipartisan vote of 370-48, following Senate approval in August. The legislation, included in a short-term Continuing Resolution (CR) to fund the U.S. government, now awaits President Donald Trump’s signature.
The latest action extends AGOA for two years through the end of 2028 and does not make substantive policy changes to the program.
An earlier congressional effort in January 2026 saw the House of Representatives approve a proposal for a three-year extension of AGOA.
Follow us on WhatsApp | LinkedIn for the latest headlines
The latest measure is different in that it is part of the government funding package that has now cleared both chambers of Congress and provides a two-year extension through 31 December 2028.
AGOA, enacted in 2000, gives eligible sub-Saharan African countries duty-free access to the U.S. market for more than 1,800 products, in addition to products covered under the Generalized System of Preferences.
The program lapsed on 30 September 2025 before being restored retroactively in February 2026 for a limited period through the end of 2026.
Durable renewal is crucial to incentivize greater cross-border investment and ensure the U.S. remains the partner of choice in these dynamic regions Joshua Walker – U.S. Chamber of Commerce
Lawmakers and business groups have described the latest extension as an interim measure that gives Congress time to consider reforms and modernization of the program, although concerns remain that a two-year renewal falls short of the longer-term certainty needed to support major investment and business decisions.
Joshua Walker, Chief International Affairs Officer at the U.S. Chamber of Commerce, welcomed the congressional action, describing the two-year extension as “a critical first step towards providing the long-term certainty that American businesses operating in sub-Saharan Africa and Haiti need to make meaningful investment decisions.”
In a statement sent to Addis Standard, U.S. Chamber of Commerce quoted Joshua as saying: “we urge Congress to use this window to modernize both programs and advance their long-term reauthorization.”
“Durable renewal is crucial to incentivize greater cross-border investment and ensure the U.S. remains the partner of choice in these dynamic regions.”
For Ethiopia, however, the extension of AGOA does not automatically translate into a return to the program.
Ethiopia’s bid to regain eligibility has yet to succeed. The Office of the U.S. Trade Representative maintained Ethiopia on its list of suspended countries in its latest announcement in December 2025, while confirming that the African countries then eligible for AGOA would retain their benefits.
AGOA eligibility continues to be reviewed by the U.S. President, meaning Ethiopia would require a separate decision restoring its beneficiary status before its exporters could again access the preferential trade benefits.
Ethiopia was removed from AGOA following the escalation of the war in the Tigray region, which began in November 2020.
In October 2021, Senate Foreign Relations Committee Ranking Member Jim Risch and House Foreign Affairs Committee Ranking Member Michael McCaul urged the Ethiopian government to “correct course and avert a revocation of AGOA benefits.”
The two Republican lawmakers said that “AGOA trade benefits have been a strong component of job creation in Ethiopia, and the U.S.-Ethiopia bilateral trade relationship has generated economic benefit for both countries since 2000.”
However, they cited credible reports of gross violations of human rights committed during the war in the Tigray region as reason for the impending revocation.
Subsequently, in December 2021, then-President Joe Biden announced Ethiopia’s removal from the program, citing “gross violations of internationally recognized human rights.”
The suspension dealt a significant blow to Ethiopia’s export-oriented manufacturing sector, particularly textile and garment factories operating in industrial parks that had targeted the country partly because of its preferential access to the U.S. market.
Several foreign companies subsequently closed operations or left Ethiopia.
The Ethiopian government condemned the decision as “misguided,” arguing that it failed to take into account “the commitment of the Government of the United States to value the wellbeing of ordinary citizens.” Ethiopia further warned that the decision would affect “the livelihoods of more than 200,000 low-income families,” mostly women who were employed in industries linked to AGOA exports.
The Office of the United States Trade Representative (USTR) has maintained that beneficiary status under AGOA remains subject to periodic eligibility reviews.
Although the Tigray war that led to Ethiopia’s removal from AGOA formally ended with the signing of the November 2022 Cessation of Hostilities Agreement, the country’s human rights record has continued to raise serious concerns, potentially contributing to the absence of a review restoring its eligibility.
The U.S. Department of State’s 2024 Country Reports on Human Rights Practices for Ethiopia delivered a stark assessment of the country’s human rights situation, documenting widespread abuses by both state and non-state actors amid ongoing conflicts in different parts of the country that included torture, extrajudicial killings and mass detention.
The latest extension offers renewed continuity for the countries currently benefiting from AGOA but leaves Ethiopia’s potential return dependent on a future U.S. eligibility determination.
The congressional measure also extends the Haiti Economic Lift Program, including the HOPE/HELP trade preference programs and related apparel provisions. The U.S. Chamber of Commerce said the extension provides businesses operating in both sub-Saharan Africa and Haiti with additional certainty while Congress considers longer-term reforms and reauthorization of the two programs.
Joshua said the programs were important instruments of U.S. strategic competition.
“As state-directed, non-market actors seek to expand their commercial and diplomatic footprint across Africa and the Western Hemisphere, AGOA and HOPE/HELP are key to diversifying critical supply chains away from non-democratic actors and supporting constructive U.S. engagement in regions of growing geopolitical importance,” he said.
