By
Kester Kenn Klomegah
Africa-Press – Mozambique. Despite the contradictions and complexities in U.S. policy towards Africa, particularly under President Donald Trump, there are still remarkable rising trade and economic cooperation ties between the United States and Africa. Over these past couple of months, Bill Gates signed an agreement with the African Union (AU), pledging to transfer billions into the humanitarian sector in Africa. Bloomberg widely supports African media. The African youth are the future leaders and are supported to acquire great technological skills and education, with the ultimate aim of becoming the bridges between the United States and Africa.
Luanda, the capital of Angola, becomes the host of the U.S.-Africa Business Summit, where trade ministers and corporate business executives would converge to unprecedented heights, already garnering accolades from Washington and New York. By description, Angola, considered the fastest-growing economy in Africa and one of the fastest-growing in the world, has command over untapped natural resources, including oil and gas, diamonds, gold, and copper. In recent times, Angola has fallen away from Russia and noticeably moved closer to the United States.
Historical records show Angola’s closeness to China. In 2004, the Exim Bank of China approved a US$2 billion line of credit to Angola, used for rebuilding Angola’s infrastructure, and the remote aim was to limit the influence of the International Monetary Fund (IMF). Despite efforts to break this financial institution, the IMF has a broad and deep-seated network across Africa. China is Angola’s biggest trade partner and export destination as well as a significant source of imports. Bilateral trade reached US$27.67 billion in 2023, up 11.5% year-on-year.
Despite that, Angola has taken the best step, especially in the emerging multipolar arrangement, which guarantees an indiscriminate position in forging multifaceted relations with key global partners. As of 2021, the biggest import partners were the European Union, followed by the United States. From this brief policy analysis, President João Manuel Gonçalves Lourenço, together with Minister of External Relations of Angola and also the Council Chairperson of the Southern African Development Community (SADC), Tete António, and Minister of Industry and Trade, Rui Miguêns de Oliveira, have shared their trade policy and robust strategic insights while campaigning for and urging African leaders, trade ministers, and corporate business executives to take advantage of participating in the forthcoming U.S.-Africa Business Summit 2025 in Luanda, Angola.
Currently, Angola and the United States are progressively moving on the highway track, exemplified by developing long-term partnerships and joint policy frameworks prioritizing infrastructure investment and operational excellence. Without much doubt, the United States supports the creation of a modern, integrated transport network capable of driving Angola’s economic growth and regional connectivity. Popularly referred to as the Lobito Atlantic Railway (LAR), this unique infrastructure reaffirmed the United States’ commitment to sustainable transport connectivity, and much gratitude goes to the international stakeholders towards this railway development in Angola, southern Africa. Documents seen and read by this article author most notably show the Lobito Corridor as a transcontinental route linking Angola to Zambia and the Democratic Republic of Congo (DRC).
In the context of the crucial geopolitical changes, many African leaders, corporate executives, and the business community are still searching for mutually beneficial trade partnerships and bilateral economic ties, comparatively better negotiations and agreements, and aiming at maximizing appreciable returns and/or benefits. Now the main focus is currently on accelerating trade and investment and reaching a fundamental understanding of financial cooperation. These are the underlying factors shaping today’s bilateral relations, rather than geopolitical rhetoric and positions. With the changing times, Africa is also building its muscles towards a new direction since the introduction of the African Continental Free Trade Area (AfCFTA), which was officially launched in July 2019. In practical terms, trading started under the AfCFTA from January 2021.
The United States has prioritized the AfCFTA. And the African Growth and Opportunity Act (AGOA), which offers a trade preference program, perfectly fits into that. AGOA provides duty-free access to the U.S. market for eligible products and trading services from designated sub-Saharan African countries. It was enacted in May 2000 and aims to boost economic growth and development in the region through trade.
Key features and benefits of AGOA:
Duty-free Access: AGOA allows eligible products from sub-Saharan African countries to enter the U.S. market without paying tariffs.
Promotion of Economic Growth: The program encourages economic growth by providing incentives for African countries to open their economies and build free markets.
Encouraging Economic Reforms: AGOA encourages economic and political reforms in eligible countries, including the rule of law and market-oriented policies.
Increased Trade and Investment: The program aims to strengthen trade and investment ties between the United States and sub-Saharan Africa.
Economic Growth and Employment Creation: AGOA has been instrumental in creating employment by raising exports. It further encourages raising exports to the United States. In addition, AGOA has helped eligible countries to work towards economic growth across the African continent. It establishes the process of transforming a market-based economy and sets the criteria for diversification and strengthening trade policy interests between the United States and Africa.
Recent Developments: AGOA’s authorization is scheduled to expire in September 2025. The ongoing debates have intensified, with the majority of African leaders calling for its extension. This implies affirmation of United States policy by Africa and its evolving position within the context of multipolarity. The Corporate Council on Africa (CCA), the main organizer of the U.S.-Africa Business Summit, has taken robust steps and adopted a fast-tracking approach to rally African leaders and the U.S. Congress to promptly renew AGOA.
The U.S.-Africa Business Summit, since its inception, has served as a unique platform for addressing key existing challenges and outlining opportunities on the landscape between the United States and Africa. Over the years, the platform has underlined the importance of developing strong trade ties and strengthening economic cooperation. Relating to these, it puts the hospitality industry and aviation business on an active track due to the frequency of people’s movement and their subsequent interaction. The summit has supported the duty-free access for nearly 40 African countries, and as a result has boosted development and fostered more equitable and sustainable growth in Africa. It’s worth reiterating here that during these past several years, AGOA has been the cornerstone of U.S. economic engagement with the countries of sub-Saharan Africa.
In this case, as AGOA is closely working with the African Continental Free Trade Area (AfCFTA) Secretariat and with the African Union (AU), trade professionals could primarily leverage various economic sectors and unwaveringly act as bridges between the United States and Africa, according to the advice given by Florie Liser, President and Chief Executive Officer (CEO) of the Corporate Council on Africa-CCA. Notwithstanding the challenges persistently posed by the changing situation, “Africa is a critical trade and investment partner, and many American investors are committed to long-term engagement and looking further for partnership across Africa,” underscored Florie Liser, while explaining its prestigious character not only for Angola but for Southern Africa and the continent at large. In fact, Angola represents a dynamic and evolving economy with immense potential for deeper U.S.-Africa business engagement—not unlike a number of other African countries.
Arguably, though, the Lobito Corridor, a regional infrastructure project, aligns with U.S. priorities for sustainable development through infrastructure, energy, and trade connectivity in Southern Africa and serves as a model for similar projects across the continent. Based on these current developments, CEO Florie Liser believes in the necessity to engage Africa as a strategic partner (for small and medium-sized enterprises, African entrepreneurs, and local businesses) and to shape the future of U.S.-Africa business relations. The Corporate Council on Africa (CCA), as the premier U.S. business association focused exclusively on U.S.-Africa business relations, is absolutely open and eager to welcome new members. The CCA, established in 1993, provides unparalleled access to high-level decision-makers, curated networking opportunities, market intelligence, and a platform to shape policy and drive business.
In summary, AGOA is a significant trade policy that has played a crucial role in promoting economic growth and development in sub-Saharan Africa. It is therefore necessary—African leaders, the U.S. government, both U.S. and African trade agencies, the private sector, civil society, and stakeholders—to combine the African Growth and Opportunity Act (AGOA) and the Africa Continental Free Trade Agreement (AfCFTA) as the cornerstone in strengthening the economic partnership with Africa. In the final analysis, the world-class summit aims at fortifying AGOA and U.S.–Africa trade and investment cooperation in the coming years. Hence the significance of the 17th U.S.-Africa Business Summit scheduled June 22-25 in Luanda, Angola.
About the Summit: The Corporate Council on Africa (CCA) is delighted to co-host with the government of the Republic of Angola the 17th U.S.-Africa Business Summit in Luanda. Angola, a thriving emerging market with vast investment opportunities and home to many multinational U.S. organizations, has strengthened ties with the U.S. through a trade and investment framework agreement (TIFA) aimed at fostering greater trade and investment. The summit will bring together more than 1,500 delegates, including African presidents, heads of government and ministers, senior U.S. government officials, and leaders from U.S. and African companies. The 2025 Summit sessions will cover the full range of opportunities to expand U.S.-Africa trade, investment, and business relations.
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