The Nigerian government has reacted to a new 14% tariff placed on its exports by the United States. The government says it is working hard to reduce the effects of this decision and speed up efforts to diversify the economy.
Dr. Jumoke Oduwole, Nigeria’s Minister of Industry, Trade and Investment, said on April 6 that the tariff could make Nigerian goods less competitive in the U.S. market. This includes non-oil exports that used to enjoy special access to the U.S. under the African Growth and Opportunity Act (AGOA).
“For businesses in the non-oil sector, these measures present destabilising challenges to price competitiveness and market access, especially in emerging and value-added sectors vital to our diversification agenda,” the statement read.
“SMEs building their business models around AGOA exemptions will face the pressures of rising costs and uncertain buyer commitments,” it added.
While oil is still Nigeria’s main export to the U.S., other products like fertilizers, lead, and agricultural goods now face possible problems due to the new tariffs.
To support Nigerian exporters, President Bola Tinubu’s government has introduced new policies, funding opportunities, and better infrastructure. These actions aim to help Nigerian businesses find new markets outside the U.S., improve the quality and traceability of their products, and build stronger trade relations.
“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,” said Dr. Oduwole.
The new tariff follows a decision by U.S. President Donald Trump to introduce a 10% tariff on all imports, along with specific tariffs for certain countries—including Nigeria, which now faces a 14% tariff.
Nigeria exports about $5 to $6 billion worth of goods to the U.S. each year, with more than 90% being crude oil and mineral fuels. Non-oil exports make up less than 5%.
From 2015 to 2024, trade between Nigeria and the U.S. reached ₦31.1 trillion. During this time, imports made up ₦16.4 trillion, which is 8.7% of Nigeria’s total exports worldwide.
