US and AfCFTA members sign MOU on trade cooperation

Published date:
Thursday, 15 December 2022

On December 14, 2022, the United States and African Continental Free Trade Area Secretariat (AfCFTA) signed a Memorandum of Understanding on Cooperation for Trade and Investment between the United States and the African Continental Free Trade Area (MOU) see document alongside

The MOU  was signed by U.S. Trade Representative (USTR) Katherine Tai and AfCFTA Secretary General Wamkele Mene during the 2022 U.S.-Africa Business Forum. 

The African Continental Free Trade Area was established in March 2018 and currently includes 55 African nations and eight Regional Economic Communities. 

The AfCFTA’s mandate is to create a single continental market with a population of about 1.3 billion people and a combined GDP of approximately $3.4 trillion. 

In remarks at the forum, President Joseph Biden said, “The United States is all in on Africa’s future. … This MOU will unlock new opportunities for trade and investment between our countries and bring Africa and the United States even closer than ever.”

The MOU seeks to develop cooperation among the parties to promote sustainable trade and economic integration in Africa and between the U.S. and AfCFTA member states.

\It establishes annual high-level engagement between the United States and the AfCFTA Secretariat, as well as quarterly meetings of technical working groups (TWGs), to discuss issues to be identified by the participants.

The TWGs will bring together representatives from the AfCFTA Secretariat, the Office of the USTR, and other stakeholders to exchange information on best practices and have an open dialogue to enhance the relationship between the United States and the AfCFTA Secretariat, the AfCFTA member states, and related stakeholders.

In announcing the MOU, the White House released a Fact Sheet announcing new initiatives and investments to promote two-way trade and investment between the United States and AfCFTA member states.

In a brief statement, Ambassador Kathrine Tai stated, “We signed this MOU to create a platform for a regular dialogue with the AfCFTA Secretariat and other stakeholders to address matters of mutual interest about the negotiation and implementation of the AfCFTA.” She added, “In terms of size and population, Africa’s significance is undeniable…. and the continent is becoming an increasingly important economic partner to the United States.”

 

Share this article

View related news articles

Taking stock of America’s flagship trade programme for Africa

Pankaj Bedi strides through his factory on the edge of Nairobi, past clattering sewing machines, bustling workers and boxes of jeans. None of this would be here, he says, were it not for the African Growth and Opportunity Act (AGOA). The landmark trade policy was introduced by Bill Clinton in 2000, granting duty-free access for more than 6,000 products from sub-Saharan Africa. Two years later, Mr Bedi opened United Aryan, his clothing...

08 February 2023

US and Kenya to hold first round under their Strategic Trade and Investment Partnership (STIP)

The United States and Kenya will hold an in-person round of conceptual discussions under their Strategic Trade and Investment Partnership (STIP) in Washington, DC, from February 6-10, 2023.   The United States delegation will be led by Assistant United States Trade Representative Connie Hamilton, and will include representatives from several other government agencies. United States Trade Representative Katherine Tai and then-Kenyan...

04 February 2023

'AGOA shows US has successfully courted Africa' - Columnist

US treasury secretary Janet Yellen is in town this week. While news headlines have focused on the overlapping visits to the continent of Yellen, Russia’s Sergey Lavrov and China’s Qin Gang, Yellen’s comparative advantage is marked. She’s a pre-eminent economist — the first to have led the Federal Reserve, the White House council of economic advisers and the treasury — and she’s here to leverage that experience to build US-Africa...

26 January 2023

US treasury secretary Janet Yellen touts deeper ties with South Africa to help boost trade

The US is seeking to deepen its economic integration with South Africa in pursuit of policies to diversify global supply chains, US Treasury Secretary Janet Yellen said. Closer ties with nations that share the US’s economic values will help promote so-called friendshoring, in which allies cooperate on manufacturing and sourcing raw materials, Yellen said at a meeting with South African Finance Minister Enoch Godongwana on...

25 January 2023

The US-Africa Leaders Summit marks a seismic shift in relations with the continent

The second edition of the U.S.-Africa Leaders Summit (ALS) took place in Washington last week. Much has changed since former president Barack Obama held the inaugural summit in 2014, halfway through his second term. At that time, the geopolitical environment for strengthening ties was less fraught: global economic integration was accelerating, and Africa was “rising” from sluggish growth and persistent poverty. The initial summit was...

28 December 2022

Key to Africa’s growth is within the continent

The outcome of the US-Africa Leaders Summit once again shows why the continent is better off looking inwards for solutions. As the dust settles, the deals unveiled at the summit are coming under closer scrutiny. The $15 billion and the headline commitment by President Joe Biden to inject $55 billion into the continent over a three-year period have particularly attracted animated debate. On social media platforms, many commentators suggested...

17 December 2022

'Poor relatives always show up, rich ones don't', Biden says as he plans Africa trip

U.S. President Joe Biden capped a summit of 50 African leaders by stressing his administration's deep commitment to Africa, urging the continent's leaders to respect the will of their people, and saying he may come visit. The U.S.-Africa Leaders Summit concluded Thursday with bonhomie, $55 billion (Sh6.8 trillion) in U.S. commitments, and this from Biden: "As I told some of you — you invited me to your countries," he said. "I said, "Be...

16 December 2022

US apparel and footwear association calls for prioritising AGOA renewal at US-Africa Leaders Summit

The American Apparel & Footwear Association (AAFA) and more than 20 organisations have appealed for long-term renewal of the African Growth and Opportunity Act (AGOA). The apparel industry of US, in a letter to President Joe Biden, urged the government to prioritise this request at the ongoing US-Africa Leaders Summit that will end on December 15, 2022. The organisations emphasised on the timely renewal of AGOA for a 10-year period, so...

15 December 2022

White House Statement on US-Africa Leaders Summit: Strengthening partnerships to meet shared priorities

The U.S.-Africa Leaders Summit, from December 13-15 in Washington DC, highlighted the U.S. commitment to expanding and deepening our partnership with African countries, institutions, and people.  Our world is quickly changing, and U.S. engagement in Africa must evolve accordingly.  African leadership and contributions are essential to addressing today’s pressing challenges and achieving shared priorities.  The Biden-Harris...

14 December 2022

Fact sheet: US- Africa partnership in promoting two-way trade and investment in Africa

Africa’s integration into global markets, demographic boom, and continent-wide spirit of entrepreneurship and innovation present an extraordinary opportunity for the United States to invest in Africa’s future.   The United States will support and facilitate mobilizing private capital to fuel economic growth, job creation, and greater U.S. participation in Africa’s future.   Together, business and government leaders will...

14 December 2022