AGOA Extension Act
AGOA Extension Act
Plain Language Summary
# AGOA Extension Act Summary **What It Does:** This bill extends trade benefits that allow sub-Saharan African countries to export goods to the United States without paying tariffs (import taxes). Currently, 32 African countries participate in this program called AGOA (African Growth and Opportunity Act). The bill would keep these duty-free trade preferences in place through 2028, and extend customs fees that fund border operations through 2031. It also includes special provisions allowing African clothing manufacturers to source some materials from other countries while still qualifying for duty-free status. **Who It Affects:** The bill benefits sub-Saharan African exporters—particularly in manufacturing and agriculture—who gain easier access to the U.S. market.
It also affects American businesses that import products from these countries, and U.S. consumers who may benefit from lower-cost imports. The extension supports the stated goal of promoting economic growth and trade relationships in sub-Saharan Africa. **Current Status:** The House of Representatives has already passed this bill. It now moves to the Senate for consideration. The bill is largely technical in nature—it extends existing trade programs rather than creating new ones—which may explain why it received bipartisan support in the House.
CRS Official Summary
AGOA Extension ActThis bill extends through December 31, 2028, trade preferences that provide duty-free access to the U.S. market for most exports from eligible countries in sub-Saharan Africa (SSA). The bill also extends through December 31, 2031, customs user fees and merchandise processing fees.Specifically, the bill extends through 2028 the duty-free treatment of the products of beneficiary SSA countries under the Trade Act of 1974 (specifically, the Generalized System of Preferences) and the African Growth and Opportunity Act (AGOA). (Currently, there are 32 countries eligible for AGOA.)Additionally, the extended period applies to the following provisions of AGOA: (1) the duty-free treatment of certain apparel articles from beneficiary SSA countries; and (2) the third-country fabric provision, which allows limited amounts of apparel articles from lesser developed beneficiary SSA countries to qualify for duty-free treatment, even if the yarns and fabrics used in their production are imported from non-AGOA countries (e.g., apparel assembled in Kenya with Chinese fabrics).The bill also provides for the refund of duties (i.e., liquidation or reliquidation of entries) on articles from eligible SSA countries that entered into the United States after September 30, 2025, and before the date of this bill's enactment. A refund request must be filed with U.S. Customs and Border Protection (CBP) and must contain sufficient information for CBP to locate the entry or, if the entry cannot be located, reconstruct the entry. CBP must refund any duties previously paid with respect to the entry within 90 days.
Latest Action
Read the second time. Placed on Senate Legislative Calendar under General Orders. Calendar No. 320.