Blow to Kenyan Businesses as Trump Scraps Special Tariff Exemption
The exemption allowed goods to enter the US duty-free aiding economic growth and commerce...
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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.
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US Implements Policy Changes Affecting Kenyan Trade and Citizens - August 2025
Kenyan businesses face a significant blow after US President Donald Trump scrapped the 'de minimis' tariff exemption for small packages valued under $800 (Ksh103,600). This decision means these packages will now be subject to tariffs and taxes, impacting small business owners who ship to the US. In a separate development, Kenya's preferential trade access via the African Growth and Opportunity Act (AGOA) is set to expire on September 30, 2025, a situation that could devastate the country's apparel manufacturing sector. Furthermore, the Trump administration has announced stricter measures against foreigners, including Kenyans, traveling to the United States primarily to give birth, a move that will lead to visa denials for individuals identified with such intentions.
