U.S. tariff measures may present destabilizing challenges to price competitiveness and market access of Nigerian goods, especially in emerging and value-added sectors vital to Nigeria’s diversification agenda, a Nigerian official said Sunday.
Jumoke Oduwole, minister of industry, trade and investment, said that the new U.S. tariff on key categories may impact the competitiveness of Nigerian products in the United States, especially in the non-oil sector, where the products were mainly exempt under the African Growth and Opportunity Act.
In response, the West African country would choose to remain firmly committed to building economic resilience and accelerating export diversification, the minister noted.
The Nigerian government is implementing a range of interventions in policy, financing, infrastructure and diplomacy to help local businesses remain competitive amid regional and global tariff hikes, while willing to attract and retain “much-needed investments from old and new friends of Nigeria.”
Oduwole emphasized the urgent need for African countries to strengthen continental trade through the African Continental Free Trade Area, given the potential disruptions occasioned by the U.S. tariff measures.
Noting that Nigeria’s exports to the United States over the last two years were around $5-6 billion annually, with 90 percent being energy products, Oduwole said that the Nigerian government considers the United States a valued trade and investment partner.
The Nigerian government will continue actively engaging the U.S. government and the World Trade Organization over the recent imposition of a 14 percent tariff on exports from the most populous African country.
