The extension is now official. Like other beneficiary countries, Madagascar has two additional years to consolidate its exports to the American market.
It is now official. U.S. President Donald Trump has signed the law extending the African Growth and Opportunity Act (AGOA) until December 31, 2028. After months of uncertainty and a final step in Congress earlier this week, the mechanism granting preferential access to the U.S. market for several sub-Saharan African countries, including Madagascar, has been extended by two years.
Donald Trump’s signature concludes the U.S. legislative process. The text, referenced as H.R. 6500, was approved by the Senate on August 8 and subsequently adopted by the House of Representatives on September 1. The White House occupant signed it into law on September 2. For Madagascar, the stakes are high.
The Great Island benefits from AGOA particularly in the textile sector, a major industry for manufacturing and employment, as well as in agricultural sectors such as vanilla and spices. “In terms of textiles and accessories, AGOA is the primary market by volume. It makes the United States the second-largest market [for Malagasy exports] after Europe,” explains Tiava Rajohnson, Director General of Foreign Trade at the Ministry of Commerce and Consumption.
In a statement following the House vote, the Ministry of Commerce and Consumption indicated that this decision brings hope, as it should strengthen the confidence of exporters and investors and provide additional visibility to Malagasy economic operators.
However, the ministry is already looking beyond 2028. Anticipating the next deadline, Malagasy authorities have expressed their desire to obtain a much longer extension, aiming for an additional ten years. This perspective would, according to the ministry, offer more stability to companies and favor investments oriented toward the American market.
This ambition is also being pursued at the African level. According to the Malagasy Embassy in Washington, the ambassadors of Madagascar and Kenya to the United States, who co-chair the special committee dedicated to AGOA, affirmed their commitment to continue efforts to improve the mechanism and secure an extension beyond 2028. The next diplomatic and commercial battle has clearly already begun.
Like the extension process just completed, obtaining another ten years will not be easy. President Trump’s signature is not a blank check for beneficiary countries. The “America First” doctrine of the White House occupant was the anchor for debates, blockages, and modifications to the text. Washington wants the agreement to better serve American commercial and strategic interests.
U.S. Trade Representative Jamieson Greer argued that “the 21st-century AGOA must demand more from our trading partners and offer better market access for our American farmers and ranchers… by ensuring more reciprocal trade with our sub-Saharan African partners, to strengthen the global competitiveness of the United States.”
On the recommendation of the Ways and Means Committee, new provisions “to prioritize and simplify access and processing of critical minerals in AGOA beneficiary countries” were reportedly introduced into the text voted by the Senate. The Committee highlighted American strategic interests and the “risk of leaving a vacuum that competitors could exploit.”
Regarding the partnership in strategic resources, the Vara Mada project is a hot topic in economic cooperation between Madagascar and the United States, especially as it represents the largest American private investment in the country. President Trump even sent emissaries to Madagascar in June regarding this file. However, the project remains on hold due to fierce opposition from the local population and certain political leaders.
When asked about his position on the Vara Mada project in an interview broadcast on public television on May 31, Colonel Michaël Randrianirina, Head of State, stated that he set four conditions for investors, including “good coexistence with the local population.”
AGOA beneficiary countries could benefit from a potential shift in the political winds in the United States in 2028 during negotiations for a ten-year extension. However, it is unlikely that the Americans will easily compromise on the issue of strategic interests, regardless of who sits in the White House.
Captured & Published at: 2026-09-05 05:53:46 (Madagascar Local Time EAT)
Original Source: https://www.lexpress.mg/2026/09/commerce-trump-signe-la-prolongation-de.html
