Kenya aims at reviving the stalled trade talks with the US and push for favourable export tariffs, as a delegation from Washington jets into Nairobi next week.
US Trade Representative ambassador Jamieson Greer is expected to lead the team, Kenya’s Industry Principal Secretary Juma Mukhwana has revealed, with the two countries expected to hold trade, investment and wider bilateral talks.
Among the requests Kenya plans to place on the table include a return to negotiations for the Strategic Trade and Investment Partnership (STIP) which it had hoped to conclude before the exit of former President Joe Biden.
The talks were suspended after President Donald Trump took office in January this year. This is the third time the process has been disrupted by change of regime. It was mooted during Trump’s first term when Uhuru Kenyatta was Kenya’s President.
After Biden took over in 2021, following his win in November 2020, his administration sought to review the deal which was also affected by the change of leadership in Kenya, when President William Ruto took over from Uhuru in September 2022.
Greer and his Kenyan counterpart Lee Kinyanjui are expected to revive the talks next week.
This, even as Kenya pushes for the removal the 10 per cent tariff imposed on her exports early this month, albeit the US suspending Trump’s global tariffs for 90 days to allow negotiations with the different countries.
“We know that Kenya is a very strategic partner for the US. We were already doing an agreement so how can we be doing an agreement, before we sign, you give me a 10 per cent tariff, then what is the purpose of the agreement? So we are saying, let us continue with it (trade talks and if there are any issues, we put them in the agreement,” PS Mukhwana said in Nairobi yesterday.
He spoke at the launch of the Kenya Association of Manufacturers (KAM)’s Route to Market Strategy, that seeks to grow Kenya’s exports to the US, EU, UK, Africa (under the African Continental Free Trade Area) and other potential markets.
Mukhwana said US-Kenya trade talks were at 80 per cent.
“We have also requested AGOA be extended by 16 years that we had planned, and then remove the 10 per cent tariff,” the PS said, “we want to continue and conclude these talks as quickly as possible.”
During a hearing on President Trump's tariff policies before the US House Ways and Means Committee a fortnight ago, Kenya was recognised as a key trade partner.
“I had the opportunity to meet with US Trade Representative Jamieson Greer to discuss strengthening our collaboration, especially in light of the recent shift in US tariffs. We remain committed to securing trade deals that serve Kenya’s best interests,”CS Kinyanjui had earlier said.
Greer told the committee Kenya had indicated its willingness to hold talks.
“I look forward to speaking with him (CS Kinyanjui) again…they want to have an agreement with us,” Greer had said.
Revival of the trade talks will give Kenya hopes of sealing a deal that would allow it increase its exports to the US market.
It has been enjoying US duty free access under the African Growth and Opportunity Act (AGOA), which has given it up to 6,400 product lines market for the last 25 years. AGOA expires in September this year.
KAM chief executive Tobias Alando said Kenya has only managed to tap less than five listings of products with the main one being textile and apparel.
“We hope next week’s conversations gives us something. The idea would be through the rules of market to identify other products that we can export,” Alando told the Star.
He said the route to market strategy aims to increase awareness and preparedness for local producers on quality requirement to access export markets, linking them with the logistics and the financial institutions and enabling them to move their products.
