What Does Trump's Win Mean for Africa?

With Donald Trump re-elected as US president, leaders across Africa are watching closely to see how his policies will affect the continent. Trump’s previous term was marked by both cuts to aid and some support for African economies. Now, with new global challenges, African countries may face both opportunities and risks.

Trade and Investment

Under Joe Biden, the US invested heavily in African development, especially through infrastructure projects like the Lobito Corridor, which helps transport minerals across Angola, the Democratic Republic of Congo, and Zambia. But Trump has a “America First” approach, meaning he wants to keep more jobs and investments within the US. This could impact the African Growth and Opportunity Act (AGOA), which allows many African countries to sell their products in the US tax-free.

If AGOA ends in 2025, it may hurt exporters, especially in countries like South Africa. Trump also proposes a new 10% tax on all imported goods, which would make African products more expensive for US buyers. While Trump did create the Prosper Africa initiative to encourage American investment in Africa, his focus may shift away from large economic projects that don’t directly benefit the US.

Aid and Development Programs

The US provides a lot of aid to Africa, especially in health and security. However, Trump previously tried to cut foreign aid, though Congress rejected his proposals. Now, with a stronger Republican presence in Congress, the chance of aid cuts is higher. Programs like PEPFAR, which fights HIV/AIDS in Africa, could be at risk. Many African leaders are concerned that reducing aid could affect the health and stability of their countries.

Immigration

Trump has strict views on immigration, and he’s already announced plans to deport a million people without legal status in the US. Many Africans arrive at the US-Mexico border, escaping difficult conditions in their home countries. Trump previously restricted immigration from several African nations and may do so again, making it harder for Africans to migrate to the US.

Security and Regional Conflicts

Russia has been gaining influence in Africa, especially by providing military support in areas affected by conflict. The US sees Russia as a competitor, but Trump’s stance on Russia is complex, and he may not take strong action to counter Russia in Africa. That said, he has previously helped Nigeria with military support against Boko Haram, so some support for regional stability could continue.

What’s Next?

Africa’s future with the US under Trump remains uncertain. His approach could bring change, but it’s hard to predict what he’ll prioritize. For African countries, the best path forward may involve finding new ways to engage with the US while strengthening partnerships within the continent.

At ADD™, we keep a close watch on these developments to provide trusted information and support to our clients. As Africa’s political and economic landscape shifts, ADD™ is here to help you navigate the challenges and find new opportunities. With reliable data and due diligence, we empower our clients to make informed decisions in an ever-evolving environment.