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The Minister of Industry, Trade, and Investment, Jumoke Oduwole,says Nigeria is expanding its trade options beyond the United States (US), following the reintroduction of 15 percent tariffs by President Donald Trump.
In an interview Monday on CNN’s Quest Means Business show, Oduwole said Nigeria remains committed to its economic reforms and will not be drawn into reactive trade disputes, responding to Quest with apparent confidence.
In his traditional abrasive style, on August 1, President Donald Trump slammed a 15 percent import tariff on Nigeria and some other African countries.
According to the National Bureau of Statistics (NBS), the US exported goods worth $4.3 billion to Nigeria last year, while Nigeria’s main exports to the US — crude oil, fertilizer, and other commodities, were valued at over $5 billion.
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“Nigeria remains responsive, not reacting. We’re focused on our reforms, on President Bola Tinubu’s 8-point agenda,” the minister said.
Asked about the anticipated strain on Nigeria’s economy, Oduwole acknowledged the challenges but noted that Nigeria’s strategy includes expanding access to other trade geographies.
It would be recalled that Dr Biodun Adedipe of B. Adedipe Associates Limited once recommended this as response to this Trump’s tough action at a recent Nigerian-Indonesian Chamber of Commerce and Industry forum in Lagos.
“It’s mostly an energy trading relationship. We’re also waiting to see what happens with the African Growth and Opportunity (AGOA) Act in September,” she said.
“Non-oil exports such as fertilizer, lead, some cocoa, and other commodities are performing well.
“Exports to the rest of Africa under the AfCFTA are up 24% year-on-year in Q1. The world is a big place. We are not just focusing on the US.”
Oduwole said Nigeria is strengthening trade ties with Brazil, China, Japan, and the United Arab Emirates (UAE), while also doubling down on support for domestic businesses.
“We have demand for urea fertilizer in Brazil. We’re looking at partnerships across Asia and the Gulf,” the minister said.
However, despite the 15 percent tariff imposed on Nigerian exports to the United States, both countries have reaffirmed their commitment to strengthening bilateral trade and investment relations.
The renewed commitment followed a strategic meeting in Abuja between Jumoke Oduwole, Nigeria’s Minister of Industry, Trade and Investment, and U.S. diplomats, outgoing Deputy, Richard M. Mills Jr. and incoming U.S. Consul General to Nigeria, Rick Swart.
At the centre of discussions was the evolving trade landscape triggered by the executive order signed by U.S. President Donald Trump, which officially placed Nigeria among a list of approximately 40 countries subject to elevated tariffs under a revised reciprocal trade policy.
The new rate, up from 14 percent in April to 15 percent takes effect on August 7.
Oduwole acknowledged that Nigeria’s tariff on trade with the United States has moved from 14% to 15%, clarifying that despite this adjustment, Nigeria remains a favorable environment for U.S. investors. She emphasized the scale of duty-free machinery, equipment, and services entering Nigeria from the U.S., underlining the mutually beneficial nature of this commercial exchange.
U.S. goods and services trade with Nigeria totaled an estimated $13.0 billion in 2024, up 16.5 percent ($1.8 billion) from 2023.
U.S. total goods trade (exports plus imports) with Nigeria was an estimated $10.0 billion in 2024. U.S. goods exports to Nigeria in 2024 were $4.3 billion, up 66.5 percent ($1.7 billion) from 2023. U.S. goods imports from Nigeria in 2024 totaled $5.7 billion, up 0.9 percent ($51.7 million) from 2023. The U.S. goods trade deficit with Nigeria was $1.5 billion in 2024, a 53.3 percent decrease ($1.7 billion) over 2023.
U.S. total services trade (exports plus imports) with Nigeria totaled an estimated $3 billion in 2024. U.S. services exports to Nigeria in 2024 were $2.3 billion, up 5.9 percent ($130 million) from 2023. U.S. services imports from Nigeria in 2024 were $635 million, down 8.0 percent ($55 million) from 2023. The U.S. services trade surplus with Nigeria was $1.7 billion in 2024, a 12.2 percent increase ($185 million) over 2023.
