The Federal Government of Nigeria has reacted to the recent imposition of a 14% tariff on Nigerian exports by the United States.
LEADERSHIP recalls that the President Donald Trump imposed a 14% tariff against Nigeria, claiming the country operates a trade surplus.
However, a statement signed and released on Sunday by the Minister of Industry, Trade and Investment, Dr Jumoke Oduwole, noted that while oil has long dominated Nigeria’s exports to the US, non-oil products, many previously exempted under the African Growth and Opportunity Act (AGOA), now face potential disruption.
She expressed the government’s commitment to mitigating the impact while accelerating economic diversification, adding that the new 10% tariff on key categories may impact the competitiveness of Nigerian goods in the US.
“For businesses in the non-oil sector, these measures present destabilizing challenges to price competitiveness and market access, especially in emerging and value-added sectors vital to our diversification agenda.
“SMEs building their business models around AGOA exemptions will face the pressures of rising costs and uncertain buyer commitments,” it stated.
The statement also noted that Nigeria’s annual exports to the US have averaged between $5 billion and $6 billion over the last two years, with crude oil and mineral fuels accounting for more than 90% of that total.
It noted that non-oil exports, including fertilizers, urea, lead, and agricultural products, account for under 5% of total shipments. The new tariffs could hinder the competitiveness of Nigerian businesses in the US value-added and agro-processing sectors, prompting the government to view this situation as an opportunity to accelerate export diversification and enhance compliance with international standards.
“We are approaching this moment with pragmatism and purpose—turning global trade challenges into opportunities to grow our non-oil export footprint and build a more resilient economy,” Oduwole said.
She added that the Tinubu administration has rolled out policy, financing, and infrastructure measures to help Nigerian businesses adapt. These include expanding alternative export markets outside the US, enhancing quality control and traceability for Nigerian goods, and strengthening trade diplomacy to secure favourable terms.
