US imports $643m Nigerian items in two months – Report
The US imported $643.1m value of products from Nigeria within the first two months of 2025, only a month earlier than the implementation of latest tariffs by the Trump administration.
The tariffs, which take impact on April 9, 2025, have raised considerations about their potential impression on Nigeria’s commerce.
Nevertheless, oil and minerals are exempted from the brand new tariff regime, providing some reduction to Nigeria’s main export sectors.
Knowledge from america Worldwide Commerce Fee revealed that Nigeria’s imports on a customs foundation for February 2025 stood at $286.3m, a pointy decline from the $423.6m recorded in the identical month of 2024.
This marked a discount of 32.4 per cent. On a year-to-date foundation, customs-based imports fell from $951.6m in 2024 to $643.1m in 2025, representing a lower of 32.4 per cent.
On a Price, Insurance coverage, and Freight foundation, Nigeria’s imports for February 2025 stood at $298.4m, in comparison with $436.3m in February 2024, marking a decline of 31.6 per cent.
On a year-to-date foundation, CIF-based imports fell from $979.6m in 2024 to $666.3m in 2025, indicating a lower of 32 per cent.
The customs foundation for US commerce refers back to the worth of products on the level of entry into america, excluding prices associated to insurance coverage and freight, whereas the CIF (Price, Insurance coverage, and Freight) foundation contains the whole worth of the products together with the insurance coverage and transport prices required to ship the products to the US.
Regardless of the drop in imports, Nigeria’s commerce stability on customs imports for February 2025 improved considerably, rising to $187.2m from $77.3m in February 2024.
This represents a rise of 142.2 per cent. On a year-to-date foundation, the commerce stability moved from a deficit of $158.8m in 2024 to a surplus of $44.3m in 2025, marking a restoration of 127.9 per cent.
The overall commerce between the US and Nigeria for the primary two months of 2025 stood at roughly $1.33bn.
This contains the worth of each imports and exports, reflecting the intensive commerce relations between the 2 international locations.
Nigeria’s exports on a home and international Free Alongside Ship foundation amounted to $473.6m in February 2025, barely down from $501m in February 2024, representing a decline of 5.5 per cent.
On a year-to-date foundation, F.A.S.-based exports fell from $792.8m in 2024 to $687.4m in 2025, marking a lower of 13.3 per cent.
It was noticed that america recorded a commerce deficit in opposition to Nigeria solely in January 2025, based on information from america Commerce in Items report.
The report confirmed that the US posted a deficit of $143m in January however recorded a surplus of $187m in February. This constructive shift resulted in a year-to-date surplus of $44m.
The info revealed that Nigeria’s exports to the US rose considerably in February, amounting to $474m in comparison with $214m in January.
This marked a rise of 121.5 per cent. On a year-to-date foundation, Nigeria’s exports to the US totalled $687m, displaying a robust restoration after a gradual begin to the 12 months.
US imports from Nigeria, nonetheless, recorded a decline. In February, imports have been valued at $286m, down from $357m in January, representing a lower of 19.9 per cent.
12 months-to-date, US imports from Nigeria amounted to $643m, indicating a discount in import quantity in comparison with the earlier month.
The shift in commerce dynamics between January and February highlights a reversal of the deficit pattern seen in the beginning of the 12 months.
In January, the US recorded a deficit as imports from Nigeria exceeded exports. Nevertheless, in February, elevated exports and decrease imports led to a surplus.
Additional commentary exhibits that america imported crude oil value $413.57m from Nigeria within the first two months of 2025, based on information from america Commerce in Items report.
The info exhibits that the whole quantity of crude oil imported from Nigeria throughout this era was 5.3 million barrels.
Crude oil accounted for about 64.31 per cent of the whole imports from Nigeria to the US, which stood at $666.3m within the first two months of the 12 months.
This highlights the numerous function of crude oil in Nigeria’s export portfolio to the US.
In February 2025, the quantity of crude oil imported from Nigeria to the US was 1.8 million barrels, valued at $142.2m.
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This marked a major drop from January 2025, when the quantity was greater at 3.5 million barrels, valued at $271.4m.
The info revealed that the worth of crude oil imports fell by 47.6 per cent month-on-month.
The year-to-date customs worth of crude oil imports from Nigeria stood at $413.6m as of February 2025.
Month-on-month, the info exhibits that the customs worth of imports in February was considerably decrease than in January.
The C.I.F. worth of crude oil imports from Nigeria to the US was $146.2m in February, in comparison with $278.2m in January.
The cumulative C.I.F. worth for the primary two months of the 12 months stood at $424.4m. The month-on-month evaluation exhibits a lower of 47.4 per cent within the C.I.F. worth between January and February.
Whereas oil and mineral exports stay exempted from the brand new tariffs, analysts have expressed considerations in regards to the potential impression on different sectors.
Agricultural and manufacturing items, which beforehand benefitted from the African Development and Alternative Act, are more likely to face elevated competitors and better prices.
In a associated growth, Nigeria’s Minister of Finance and Coordinating Minister of the Economic system, Wale Edun, has mentioned the latest 14 per cent tariff imposed by america on Nigerian exports could have a negligible impact on the Nigerian economic system.
Edun acknowledged this on the inaugural Company Governance Discussion board organised by the Ministry of Finance Included in Abuja on Monday.
Whereas recognising the seriousness of escalating international tariff conflicts, Edun emphasised that Nigeria stays comparatively insulated from extreme impacts, given the exclusion of oil and mineral exports—Nigeria’s major exports to the US—from the tariff.
He highlighted the comparatively reasonable 14 per cent tariff as beneficial when positioned alongside Vietnam’s 46 per cent and China’s 34 per cent tariffs.
“Nigeria’s exports to the US have been N1.8tn, N2.6tn and N5.5tn in 2022-2024, respectively. Fortuitously, oil and mineral exports accounted for 92 per cent, implying oil and mineral exports amounted to N5.08tn in worth, whereas non-oil was simply N0.44tn. Consequently, the tariff impact on exports is negligible if we maintain our oil and minerals export quantity.”
Nevertheless, Edun admitted the federal government’s financial administration crew is intently monitoring the worldwide state of affairs.
“We’re going again to the drafting board to take a look at our finances another time as a result of we’ve got to see what adjustments have been made within the assumptions that underlay the manufacturing of that finances and the fact over the primary quarter and even projected into the long run,” he mentioned.
It was earlier reported that the newly imposed 14 per cent tariff by US President Donald Trump on exports by Nigerian companies presents a major danger to the $10bn annual exports to america, probably disrupting key sectors comparable to agricultural commerce, consultants and commerce associations involved a few potential international commerce conflict.
The financial consultants, in separate interviews famous that the coverage, which might elevate the costs of products and companies for shoppers, would weaken the usual of residing, decelerate manufacturing actions, hinder worldwide commerce and consequently weaken demand for Nigerian oil within the US, one among its key markets.
In line with the Nationwide Bureau of Statistics, Nigeria’s commerce with america reached a mixed N31.1tn in ten years between 2015 and 2024. An evaluation of the international commerce report confirmed that N16.4tn was recorded as exports and N14.71tn in imports, indicating a commerce surplus of N1.64tn.
A breakdown confirmed that Nigeria exported items value N344.27bn in 2015 and acquired N581.99bn as imports. In 2016, it elevated to N1.03tn in exports and N706.09 in imports. Exports surged to N1.73tn in 2027, N1.094tn in 2018, and N1.01tn in 2019 earlier than dropping to N382.19 bn in 2020 because of the pandemic. By 2021, exports elevated to N800.34bn, N1.82tn in 2022, N2.61tn in 2023 and N5.52tn in 2024.
The Federal Authorities earlier acknowledged that a number of of Nigeria’s oil and non-oil exports are set to face hostile results because of the newly imposed tariffs by US President Donald Trump.
This tariff, which is anticipated to disrupt commerce relations, might probably weaken the competitiveness of Nigerian merchandise within the U.S. market, based on the Minister of Trade, Commerce and Funding, Dr Jumoke Oduwole, in a press release on Sunday.
SOURCE: The PUNCH
