S. 2958: AGOA Extension and Bilateral Engagement Act of 2025

This bill, known as the AGOA Extension and Bilateral Engagement Act of 2025, aims to extend and revise provisions related to the African Growth and Opportunity Act (AGOA) and to review the bilateral relationship between the United States and South Africa.

Extension of African Growth and Opportunity Act

The bill proposes the following amendments to the AGOA:

• Extending the AGOA's expiration date from 2025 to 2027, allowing continued trade benefits for eligible sub-Saharan African countries.
• Increasing the duration of specific programs under AGOA, such as the regional apparel article program and third-country fabric program, hence enhancing trade opportunities.
• Making technical corrections to ensure accurate references within the statute.

Trade Strategies with AGOA Countries

The bill requires the United States Trade Representative to develop a strategy within 180 days of the bill's enactment aimed at expanding trade and investment with AGOA beneficiary countries. This strategy should:

• Assess current trade and investment between the U.S. and AGOA countries.
• Identify at least five AGOA countries that the U.S. will prioritize for bilateral trade agreements.
• Outline criteria for determining the readiness of these countries for negotiations, focusing on their adherence to eligibility criteria and respect for human rights.
• Provide a timeline for initiating negotiations.

Bilateral Relationship with South Africa

The bill also addresses the U.S. relationship with South Africa by mandating a comprehensive review of this bilateral relationship, which must be conducted by the President in consultation with relevant officials. Key components include:

• A report detailing the findings of this review.
• A certification on whether South Africa has engaged in activities undermining U.S. national security or foreign policy interests.

Sanctions Reporting

The President is also required to submit a report on senior South African government officials and leaders of the African National Congress (ANC) who may be involved in corruption or human rights abuses. This report must include:

• A list of individuals deemed suitable for sanctions based on the Global Magnitsky Human Rights Accountability Act.
• A detailed explanation of the conduct justifying their inclusion on this list.
• An outline of the expected timeline for imposing sanctions or justifications for not doing so.

Consultation and Stakeholder Involvement

The Trade Representative must consult various stakeholders, including the Secretary of State, the Secretary of Commerce, and representatives from U.S. businesses and civil society groups while developing the trade strategy.

Definitions

Key terms used throughout the bill are defined, including what constitutes an "AGOA beneficiary country" and which Congressional committees are deemed appropriate for oversight and reporting purposes.

Relevant Companies

• AMD - A semiconductor company that may benefit from increased technological partnerships or trade channels into African markets.
• AAPL - Apple Inc. could see advantages related to supply chain diversification, particularly in manufacturing hubs influenced by AGOA policies.
• NKE - Nike might leverage the extended AGOA framework for sourcing materials or production from eligible countries.