Amid the global concerns trailing reciprocal tariffs announced by US President, Donald Trump, the federal government has stated that the 14 per cent imposed on Nigeria could negatively affect the nation’s oil and non-oil exports.
Sharing insight on the implications for Nigeria, the Minister of Industry, Trade and Investment, Dr. Jumoke Oduwole, said Nigeria’s trade relations could be disrupted.
She added that the development could also undermine the competitiveness of Nigerian products in the US market, especially in sectors reliant on market access and price competitiveness.
“A significant portion of Nigeria’s exports (over 90 per cent ) comprises crude petroleum, mineral fuels, oils, and gas products.
“The second-largest export category, accounting for approximately 2–3 per cent, includes fertilizers and urea, followed by lead, representing around one per cent of total exports valued at approximately $82 million.
“Nigeria also exports smaller quantities of agricultural products such as live plants, flour, and nuts, which account for less than two per cent of our total exports to the U.S.
“While oil has long dominated Nigeria’s exports to the US, non-oil products, many previously exempt under AGOA, now face potential disruption.
“A new 10 per cent tariff on key categories may impact the competitiveness of Nigerian goods in the U.S.
“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.”