“The United States’ engagement with Africa has long been shaped by humanitarian assistance, security concerns, and governance reforms,” according to the Carnegie Endowment for International Peace (2024). However, the changing geopolitical landscape necessitates a recalibrated approach that prioritizes economic partnerships and strategic investments. Africa’s growing influence, marked by its youthful population, expanding economies, and the African Continental Free Trade Agreement (AfCFTA), presents an opportunity for the U.S. to redefine its relationship with the continent.
The African Growth and Opportunity Act (AGOA), set to expire in 2025, has been a key tool in U.S.-Africa trade relations. Despite its benefits, AGOA’s impact has been uneven, and its utilization by African countries remains limited. The Biden administration’s successor must reauthorize and revamp AGOA into a more strategic economic framework that fosters mutual benefits. This includes expanding the range of eligible products, incentivizing U.S. investments in African manufacturing, and ensuring that critical minerals—essential for industries like renewable energy and defense—are central to U.S.-Africa trade agreements.
“U.S. foreign direct investment (FDI) in Africa has been primarily extractive, focusing on raw material exports rather than value-added industries,” states the report. This approach contrasts with China, which has actively invested in Africa’s industrialization through infrastructure projects and manufacturing. To compete effectively, the U.S. should support the refinement and processing of Africa’s critical minerals within the continent. Projects like the Lobito Corridor, which facilitates mineral transportation from Zambia and the Democratic Republic of Congo to Angola, should integrate refining facilities to ensure local value addition before export.
The U.S. must also rethink its diplomatic approach. Historically, American embassies in Africa have been understaffed in economic and commercial affairs, reinforcing the perception that U.S. engagement is primarily aid-driven. The next administration should strengthen economic diplomacy by increasing the presence of commercial officers in African embassies and fostering relationships with African business leaders. Additionally, the U.S. should engage African regional bodies, such as the African Union and ECOWAS, to align economic policies and enhance trade cooperation.
African countries are eager for partnerships that go beyond aid. They seek investments that create jobs, develop industries, and provide sustainable economic opportunities. The United States has an opportunity to shift its engagement from a model centered on humanitarian assistance to one driven by economic empowerment. By reimagining trade policies, increasing investment in value-added industries, and strengthening diplomatic efforts, the U.S. can position itself as Africa’s preferred economic partner in an era of great power competition.
