The African Union has welcomed the US House of Representatives’ approval of a three-year extension of the African Growth and Opportunity Act (AGOA), while urging the Senate to pass the measure to secure continued trade ties with the continent.

African Union Commission Chairperson Mahmoud Ali Youssouf described AGOA as “a cornerstone of US-Africa economic relations” that has supported industrialisation, job creation and regional value chains across the continent for more than two decades. He called on Washington to approve the extension “in a spirit that upholds partnership and shared strategic interests.”

The extension, enacted through H.R. 6500, will keep AGOA in place until December 31, 2028, providing stability for US firms sourcing goods from sub-Saharan Africa and allowing Congress time to consider broader reforms to the programme.

Ethiopia, however, remains outside AGOA, with the US Trade Representative maintaining the country on its suspended list. The latest announcement in December 2025 confirmed that 32 African nations retain eligibility for preferential access. AGOA’s stringent criteria require annual reviews of rule of law, political pluralism, anti-corruption measures, intellectual property protections, human rights and market access standards, alongside US national security and foreign policy considerations.

Ethiopia has expressed interest in rejoining, with potential benefits for exporters in textiles, horticulture and other labour-intensive sectors. Analysts say compliance with AGOA’s requirements will be crucial for the country to regain access and fully capitalise on the trade opportunity.

The African Union reaffirmed its commitment to working with US policymakers and stakeholders to ensure AGOA remains a bridge for investment and economic cooperation between the United States and Africa.