Nigeria in Session with US, WTO Over Trump’s Tariffs – FG
The Federal Authorities has disclosed that it’s consulting with the US and the World Commerce Organisation (WTO) to evolve a mutually helpful options to the 14 % tariff imposed on Nigerian export by U.S.
The federal government acknowledged that it considers the US a valued commerce and funding companion, sure by shared values and mutual financial pursuits, whereas acknowledging the current tariff imposition.
The Federal Authorities place was conveyed by the Minister of Trade, Commerce and Funding Dr. Jumoke Oduwole on Sunday by way of a press assertion in Abuja.
In keeping with Dr. Oduwole, “The Federal Authorities acknowledges the current tariff measures introduced by the federal government of the US, together with imposing a 14 per cent tariff on Nigerian exports.
“Nigeria stays actively engaged in consultations with U.S. counterparts and the WTO, approaching evolving commerce dynamics with pragmatism and a dedication to mutually helpful options”.
She identified that “The Federal Authorities considers the US a valued commerce and funding companion, sure by shared values and mutual financial pursuits,” and harassed that “The U.S. Ambassador’s go to to the ministry not too long ago, reaffirmed our joint dedication to strengthening financial ties that profit each economies.”
In keeping with her, whereas oil has lengthy dominated Nigeria’s exports to the U.S, non-oil merchandise many beforehand exempt underneath African Development and Alternative Act (AGOA), now face potential disruption.
Acknowledging that “A brand new 10 % tariff on key classes could impression the competitiveness of Nigerian items within the U.S. for companies within the non-oil sector.”
Dr. Oduwole highlighted that “The federal government can also be increasing different market entry alternatives and making certain off-take diversification to scale back and mitigate commerce dangers.”
Learn Additionally:
She defined that “Nigeria’s exports to the U.S. over the past two years has constantly ranged between 5 to 6 billion {dollars} yearly. A good portion over 90 % includes crude petroleum, mineral fuels, oils and fuel merchandise.
“The second-largest export class, accounting for roughly two to a few per cent, consists of fertilisers and urea, adopted by lead, representing round one per cent of complete exports.
That is valued at roughly 82 million {dollars}”.
The minister mentioned President Bola Tinubu has since Might 2023, remained actively dedicated to attracting and retaining much-needed investments from outdated and new pals of Nigeria.
She harassed that the Federal Authorities was implementing a variety of interventions in coverage, financing, infrastructure and diplomacy to assist Nigerian companies stay aggressive amidst regional and world tariff hikes.
Oduwole mentioned Nigeria additionally exported smaller portions of agricultural merchandise corresponding to stay crops, flour and nuts, which account for lower than two per cent of complete exports to the U.S.
The minister acknowledged that the tariff measures current destabilising challenges to cost competitiveness and market entry, particularly in rising and value-added sectors important to diversification agenda.
She famous that Small Medium-size Enterprises (SMEs) constructing their enterprise fashions round AGOA exemptions would face the pressures of rising prices and unsure purchaser commitments.
Nevertheless, the Minister mentioned the event would increase Nigeria’s non-oil exports in addition to assembly world requirements and bettering market acceptance into extra economies throughout the globe.
Additionally, she emphasised the pressing want to reinforce intra-African commerce by way of the African Continental Free Commerce Space (AfCFTA), including that the ministry was dedicated to making sure a robust conducive enterprise surroundings.
Dr. Oduwole pledged the Federal Authorities’s agency dedication to constructing financial resilience and accelerating export diversification.
SOURCE: Tribune
