ANNOUNCEMENT 29 Mar 2018

Rwanda’s apparel trade preference benefits under the African Growth and Opportunity Act have been suspended for failing to make sufficient progress toward the elimination of barriers to U.S. trade and investment.

 

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising
Inception date: 29 May 2018 | Removal date: open ended
Still in force

Import tariff

On March 29, 2018 President Trump suspended Rwanda’s trade preference benefits under the African Growth and Opportunity Act (AGOA). That decision is based upon a determination that the country is not making sufficient progress toward the elimination of barriers to U.S. trade and investment, and therefore is out of compliance with eligibility requirements of AGOA.  Consequently, the President notified Congress and the Government of Rwanda of his intent to suspend duty-free treatment for all AGOA-eligible apparel products from Rwanda in 60 days.

The decision came in response to a petition filed by the U.S. used clothing industry in March, 2017, concerning the policies of Rwanda, Tanzania, and Uganda’s AGOA eligibility regarding their decisions to phase in a ban on imports of used clothing and footwear.  The review found that this import ban harms the U.S. used clothing industry and is inconsistent with AGOA beneficiary criteria for countries to eliminate barriers to U.S. trade and investment.

The president is not suspending benefits for Tanzania and Uganda because each has taken steps toward eliminating prohibitive tariff rates on imports of used clothing and footwear and committed not to phase in a ban of these products.  The United States will continue to monitor whether Tanzania and Uganda implement these commitments and demonstrate compliance with all of AGOA’s eligibility requirements.

The list of affected products is based on the tariff line list included in the AGOA in 2017 according to the WTO Tariff Download Facility. 

AFFECTED PRODUCTS

 
010229 010239 010511 010512 010513 010594 010599 010619 020110 020120 020130 020220 020230 020312 020319 020322 020329 020422 020423 020430 020441 020442 020443 020711 020712 020713 020714 020726 020727 020742 020745 020810 020890 020910 021011 021012 021019 021099 030223 030245 030246 030254 030259 030271 030284 030285 030289 030290 030333 030334 030339 030353 030390 030492 030494 030495 030499 030520 030539 030541 030563 030569 030614 030624 040120 040140 040150 040210 040221 040229 040291 040299 040310 040390 040410 040490 040510 040520 040590 040610 040620 040630 040640 040690 040711 040719 040721 040729 040790 040811 040819 040891 040899 040900 041000 050210 051000 051199 060110 060120 060210 060230 060290 060311 060312 060313 060314 060315 060319 060390 060490 070110 070190 070200 070310 070320 070390 070410 070420 070490 070511 070519 070521 070529 070610 070690 070700 070810 070820 070890 070920 070930 070940 070951 070959 070960 070970 070991 070992 070993 070999 071010 071021 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