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Home » Experts urge Ghana to prioritize AfCFTA trade and local production amid new U.S. tariffs

Experts urge Ghana to prioritize AfCFTA trade and local production amid new U.S. tariffs

johnmahamaBy johnmahamaApril 4, 2025 Economic No Comments2 Mins Read
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Experts urge Ghana to prioritize AfCFTA trade and local production amid new U.S. tariffs

With the United States announcing sweeping new tariffs under President Donald Trump, trade experts are calling on Ghana and other U.S. trade partners to urgently diversify exports and deepen intra-African trade under the African Continental Free Trade Area (AfCFTA).

The newly introduced tariff measures impose a 34% tax on all Chinese imports, 20% on goods from the European Union, and a baseline 10% tariff on imports from any country running a trade surplus with the U.S.—a move that affects Ghana directly.

Reacting to the development, economist Professor Godfred Bokpin told Citi Business News that Ghana’s response should be strategic rather than reactive. “There isn’t much we can do about these tariffs, and we shouldn’t spend too much time complaining. Instead, we should focus on expanding trade within the AfCFTA and improving the competitiveness of our export sector. These tariffs are unlikely to be reversed soon, and we already face significant trade barriers when exporting to the European Union and other markets.”

Meanwhile, concerns are mounting over how the tariffs will drive up production costs in Ghana’s manufacturing sector. Tsonam Akpeloo, Greater Accra Regional Chairman of the Association of Ghana Industries (AGI), highlighted the critical importance of building local capacity to produce key raw materials.

“For instance, key raw materials used in manufacturing sanitary pads come from the U.S. With these tariff increases, production costs will rise, ultimately driving up consumer prices. It is crucial to develop local alternatives quickly. We need to engage our scientists and innovators to commercialize research and create the raw materials necessary for our factories to operate,” he said.

As global economic conditions grow more uncertain, experts insist that Ghana must adapt by investing in self-sufficiency, strengthening intra-African trade links, and accelerating the shift toward value-added exports to safeguard its economic future.



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