Kenyan businesses face a significant blow as US President Donald Trump scraps the 'de minimis' tariff exemption for small packages valued under $800 (Ksh103,600). This decision will now subject these packages to tariffs and taxes, leading to concerns about price hikes for consumers and particularly impacting small business owners who ship products to the US.

• Affected packages will now incur tariffs ranging from $80 (Ksh10,360) to $200 (Ksh25,900) per item.
• Peter Navarro, Trump's trade adviser, stated that closing this "loophole" helps restrict the flow of "narcotics and other dangerous and prohibited items" while generating fresh tariff revenues.
• The United Nations' Universal Postal Union reported that 25 member countries' postal operators have suspended outbound postal services to the US, adding to existing US tariffs on Kenyan exports like textiles, tea, and coffee.

The Donald Trump administration has announced stricter measures against foreigners, including Kenyans, traveling to the United States primarily to give birth and secure U.S. citizenship for their children. This move, aimed at curbing alleged visa abuse, will lead to visa denials for individuals identified with such intentions.

• On Friday, August 29, the U.S. State Department of Consular Affairs stated that using a U.S. visa for the main purpose of birth tourism is "not permitted."
• The warning follows reports of many foreigners using tourist visas for childbirth to obtain U.S. citizenship for newborns.
• The new directive comes shortly after the Trump administration's August 27 announcement to shorten visa periods for certain foreigners, including students and journalists, citing the need to "crack down on visa abuse."
• Previously, the U.S. Embassy in Nairobi updated visa application requirements for Kenyans, mandating applicants to include all social media details from the past five years on the DS-160 visa application form.

Kenya's preferential trade access to the US market through the African Growth and Opportunity Act (AGOA) is set to expire on September 30, 2025, threatening a critical economic lifeline. The expiry could devastate Kenya's apparel manufacturing sector, which relies heavily on AGOA's duty-free access.

• AGOA currently supports 66,000 direct jobs in Kenya's apparel industry, indirectly affecting an estimated 660,000 Kenyans.
• Investor Pankaj Bedi warns that without AGOA, Kenyan manufacturers cannot compete globally, risking loss of investment and jobs.
• The article urges Kenya to secure an AGOA extension or pivot to a Kenya-US Free Trade Agreement (FTA), with a mitigation plan prepared to avoid economic collapse seen in other African nations.