Washington D.C., USA – In a move that could significantly impact Nigeria’s economy, former U.S. President Donald Trump announced a new 14% tariff on Nigerian exports to the United States during a “Make America Wealthy Again” event at the White House Rose Garden on Wednesday.
Key Details of the New Trade Policy
- Immediate Effect: The 14% tariff on Nigerian goods takes effect immediately, alongside a broader 10% baseline tariff on all U.S. imports from over 50 countries.
- Reciprocal Measure: The Trump administration cited Nigeria’s existing 27% tariff on U.S. exports as justification, calling it an “unfair trade imbalance.”
- Global Impact: The policy also targets major economies like China, the EU, India, and Japan, as well as African nations including South Africa (30%), Algeria (30%), and Kenya (10%).
Trump’s Justification
Trump framed the tariffs as a necessary corrective to protect American industries and workers:
“We will supercharge our domestic industrial base, pry open foreign markets, and break down trade barriers. This is the golden age of America’s comeback.”
He emphasized that the move would strengthen U.S. manufacturing, lower consumer prices, and force trading partners to adopt what he termed “fair” practices.
Potential Impact on Nigeria
Nigeria, which exported $3.4 billion worth of goods to the U.S. in 2023—including crude oil, cocoa, and cashew nuts—could face:
✔ Reduced competitiveness of Nigerian exports in the U.S. market
✔ Pressure to lower its own tariffs on American goods
✔ Strain on bilateral trade relations, which have been relatively stable
Broader Economic Concerns
The announcement has sparked fears of a global trade war, with economists warning that retaliatory tariffs could disrupt supply chains and inflate prices worldwide. Markets reacted nervously, with commodity-dependent economies like Nigeria bracing for potential shocks.
Next Steps
- Nigerian government yet to respond: Officials are expected to convene an emergency meeting to assess the policy’s implications.
- Businesses on alert: Exporters are reviewing contracts and exploring alternative markets.
- Diplomatic channels: Nigeria may seek negotiations to secure exemptions or phased implementation.
