Kenya Welcomes US Plan to Extend AGOA as Talks Shift Toward Long-Term Trade Deal
Officials said these industries are well-placed to trigger employment opportunities, diversify Kenya’s export base, improve value chains, and attract more foreign investment.
Prime Minister Musalia Mudavadi. Photo/Courtesy
By Ruth Sang
Kenya has officially welcomed a proposal by the United States Administration to extend the African Growth and Opportunity Act for an additional year, a decision now in consideration before the US Congress. This, when agreed upon, will give both countries ample time to negotiate a strengthened and forward-looking trade partnership.
The development came as Prime Cabinet Secretary and Cabinet Secretary for Foreign and Diaspora Affairs, H.E. Musalia W. Mudavadi, joined President William Ruto in Washington, D.C., for a high-level engagement with the United States Trade Representative, Ambassador Jamieson Greer. During the meeting, Ambassador Greer observed that an extension of AGOA in its current form would give the US Government the flexibility to develop a stronger and more future-aligned instrument better suited to the common strategic and economic interests of the two countries.
According to officials, the discussions in Washington went beyond the short-term extension of AGOA. H.E Mudavadi emphasized that Kenya and the United States are now charting a path toward a new bilateral trade arrangement designed to deepen economic cooperation and secure long-term stability. The envisioned deal is intended to provide clarity to investors, expand market access, and anchor a modern trade partnership that reflects the ambitions and economic priorities of the two countries.
During the deliberations, the two teams identified key high-potential growth sectors that could benefit from increased cooperation, including apparel and textiles, agriculture, leather and footwear, chemicals and pharmaceuticals, ICT, and digital services. Officials said these industries are well-placed to trigger employment opportunities, diversify Kenya’s export base, improve value chains, and attract more foreign investment.
H.E. Mudavadi said the reinvigorated Nairobi-Washington engagement marked the start of a new, more dynamic phase in Kenya–US economic relations. He added that the momentum that has been established through the current discussions reflects a shared commitment to a partnership based on mutual prosperity, strategic collaboration, and long-term opportunity. As Kenya waits for Congress to decide on the extension of the AGOA, government leaders are confident that the emerging bilateral framework will lay the ground for an increasingly predictable, competitive, and forward-looking trade environment that would favor Kenyan businesses and American investors alike.
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