After a lengthy review of the Trump administration’s trade policy toward China, the Biden administration unveiled its approach on October 4th. It is the conclusion of the Biden administration that structural inequities in trade relations remain, and that China is not compliant with Phase I of the agreement it reached with the Trump administration. The American position, as outlined by US Trade Representative Katherine Tai, carries implications for African economies.
CGD Policy Blogs
The ongoing negotiations over a US-Kenya trade agreement embody the contradictions and likely pitfalls in the Biden Administration's Africa policy. Despite assurances from its promoters, the potential agreement remains unpopular in African states. Many observers view such a deal as potentially undermining the AfCFTA and African economic unity. As the region’s population and economies continue to expand, African multilateralism is most likely going to get stronger over time. Therefore, for any trade deal to work in strengthening US-Africa ties in the long run, it must be seen by citizens in various African states to be mutually beneficial and consistent with African multilateral initiatives like the AfCFTA.
The global economy is gradually healing from the economic blows dealt by the coronavirus pandemic, but the recovery remains fragile and halting. Reduced trade is more a symptom than a cause of those trends—and what governments do in terms of additional fiscal stimulus will do far more to determine the shape of the recovery in the United States and other countries. Still, trade policy could be a factor, supporting or undermining the nascent recovery.
Journalist Howard French on US perceptions of Africa, the business opportunities the US is leaving on the table, and how policy changes could benefit both the US and African countries.
Landry Signé, Aubrey Hruby, Judd Devermont, and Gyude Moore on their expectations for the new Prosper Africa initiative and the roles that infrastructure, communication, and the US Development Finance Corporation might play in its impact.
Prosper Africa Promises to Double Two-Way Trade and Investment between the US and Africa: But What’s the Starting Point?
Outlining a new vision for expanding private sector activity between the United States and Africa, the Deputy Secretary of Commerce and the USAID Administrator announce plans to double two-way trade and investment between the US and Africa.
US trade policy is not as fair and inclusive as it could be. That, not new tariffs, should be the focus of US policy.
On sidelines of the annual summit of the US Corporate Council on Africa in Maputo, Mozambique, US Commerce Secretary Wilbur Ross is set to provide the details of the new US-Africa policy, Prosper Africa. This new initiative seeks to accelerate two-way investment and trade with Africa as a way to advance the United States’ competitive advantage.
Uncertainties abound for the United States’ developing country trade partners in the wake of Donald Trump’s election as president. As I chronicled previously, the US presidential campaign featured plenty of tough rhetoric on trade.
With election-year events crowding out the legislative calendar, there’s only so many more opportunities for the Senate to show its commitment to development and its interest in improving US development policy. Legislators still have a week and a half in town, and we were encouraged to see the Senate Foreign Relations Committee fit in an important hearing on the role of US foreign aid in spurring economic growth.