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Ethiopia, Guinea and Mali to Be Removed From AGOA Jan. 1

Ethiopia, the fifth-largest exporter of products covered by the African Growth and Opportunity Act, will be terminated from AGOA on Jan. 1, 2022, the administration announced, unless it takes "urgent action" to stop "gross violations" of human rights in the conflict in Northern Ethiopia.

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The administration also said that Guinea and Mali will be terminated, because of unconstitutional changes in governments in those countries. Mali is a minor user of the preference program, with only $62,000 in exports in the first half of 2021 covered. Guinea, too, is a small-scale AGOA player, with $239,000 in exports covered. In contrast, Ethiopia had almost $129 million of exports to the U.S. covered by trade preferences.

"The United States urges these governments to take necessary actions to meet the statutory criteria so we can resume our valued trading partnerships. I will provide each country with clear benchmarks for a pathway toward reinstatement and our Administration will work with them to achieve that objective,” U.S. Trade Representative Katherine Tai said.

Ethiopia's government reacted with a statement that said: "We are extremely disappointed by the threat of AGOA withdrawal currently under consideration by the U.S. Government. These actions will reverse significant economic gains in our country and unfairly impact and harm women and children. Ethiopia will continue to make every effort to correct any unintended or perceived wrongs. This decision must be reversed by January 1, 2022 and we urge the United States to support our ongoing efforts to restore peace and the rule of law -- not punish our people for confronting an insurgent force that is attempting to bring down our democratically elected government."