The Federal Government has warned that Nigeria’s export earnings could suffer significant losses following the imposition of new tariffs by the United States, with President Donald Trump’s latest trade policy introducing levies as high as 50% on imported goods.
In a statement issued Sunday, the Minister of Industry, Trade, and Investment, Dr. Jumoke Oduwole, expressed concern that the tariffs would weaken the competitiveness of Nigerian products in the U.S. market, particularly affecting non-oil exports that previously enjoyed duty-free access under the African Growth and Opportunity Act (AGOA).
Nigeria exports an average of $5–6 billion worth of goods annually to the U.S., with crude oil and petroleum products accounting for over 90% of shipments. Fertilizers, lead, and agricultural goods make up the remaining exports, though these face new 10% tariffs that could disrupt trade flows.
Oduwole noted that small and medium-sized enterprises (SMEs) relying on AGOA benefits would be hardest hit, as rising costs and uncertain demand may force them out of the U.S. market. The policy shift comes as Nigeria pushes to diversify its export base, with the minister emphasizing the need to improve product standards and explore alternative markets.
Economists warn that reduced U.S. demand for Nigerian oil—a key revenue source—could further strain the country’s foreign exchange earnings. The government, however, remains optimistic that strengthening quality control and expanding trade partnerships could mitigate long-term risks.
