The United States’ determination to regain lost influence in Africa will be tested this week when dozens of the continent’s leaders and officials meet for three days of talks with their American counterparts in Washington.
One of the president’s top priorities Joe BidenThe US-Africa Leaders Summit, whose goal is to increase cooperation on some of the world’s most pressing issues, will chart the future of market access.
The African Growth and Opportunity Act, which expires in 2025 and grants some three dozen African nations duty-free access to the world’s largest economy for nearly 7,000 products, will be discussed at the summit on Tuesday and in a subsequent meeting with the legislators.
One of the contentious issues to be resolved will be who has access.
South Africa risks losing some of its preferential access to the US if its trade policies put US exporters at a disadvantage relative to their developed-nation counterparts, according to people familiar with the matter.
Trade ministers will have the opportunity to speak directly with members of Congress, who are charged with legislating AGOA, about what needs to be improved and how to move forward, Sarah Bianchi, deputy US trade representative, said in a statement. for Asia and Africa. interview before the summit.
“We have the next phase very much in mind as we begin these talks,” Bianchi said. “This was a priority for us. Getting these direct dialogues is truly the goal and the opportunity of this summit.”
DEEPENED TIES
The United States is trying to deepen its ties with Africa as it competes for influence with rivals China, the continent’s biggest trading partner and bilateral creditor, and Russia, which has successfully strengthened relations with the region in recent months as nations Westerners tried to isolate it. his invasion of the Ukraine.
US two-way trade with sub-Saharan Africa was $44.9 billion last year, up 22% from 2019, while foreign direct investment in the region fell 5.3% to $30 .31 billion in 2021.
In January 2021, the African Continental Free Trade Area became operational, which would be the world’s largest free trade area by area when it becomes operational in 2030.
The initiative is likely to become a key pillar in facilitating trade between the United States and Africa. The block has a potential market of 1.3 billion people with a combined gross domestic product of $2.6 trillion.
The bloc’s role will be discussed at the summit, Wamkele Menerecently said the general secretary of AfCFTA.
US Chairman of the Senate Foreign Relations Subcommittee on Africa chris van hollen and the chair of the House Foreign Affairs Subcommittee on Africa, Karen Bass, proposed on Friday to strengthen the AfCFTA Act. That would require Biden to develop a long-term inter-agency strategy on infrastructure development and technical support to promote continental African trade.
This summit provides a “sweet spot in the future of AGOA” to have a conversation about the implementation of the free trade agreement, he said. Constance Hamiltonthe Assistant US Trade Representative for Africa.
Some 50 heads of state and senior government officials from African countries are expected to attend this year’s summit, the second since former President Barack Obama hosted the event in 2014. Democracy, food security, climate crisis and promoting investment in infrastructure, health and renewable energy Energy projects will also be discussed.
Biden must also endorse the African Union in gaining permanent membership in the Group of 20 during the summit.
The summit “is really about the United States and Africa improving economic ties in their own right,” Bianchi said. “That’s the approach.”
