NAIROBI — Kenya has struck a preliminary market-access agreement with China that would allow 98.2% of Kenyan goods to enter the Chinese market duty-free, in a move Nairobi says will expand export opportunities—particularly for agricultural products—while it navigates uncertainty around access to the United States market.
Trade and Investment Cabinet Secretary Lee Kinyanjui said the arrangement is designed to diversify Kenya’s export destinations and reduce a trade imbalance that has long favoured Beijing. The agreement, described by Kenyan officials as an “early-harvest” outcome of broader bilateral trade talks, still requires ratification by Kenya’s parliament, according to statements cited by AFP.
The development comes as several African economies reassess trade strategy after the Trump administration’s tariff moves in 2025 and amid questions over the future of preferential access schemes. An executive order announced in April 2025 introduced a baseline 10% tariff on imports from all countries, with higher “reciprocal” rates for some partners; Kenya was among countries facing the 10% level.
Kenya’s exposure is also tied to the African Growth and Opportunity Act (AGOA), which provides eligible African countries with duty-free access to the US for a range of products. AGOA’s prior authorization was set to expire in late 2025, a risk Kenyan manufacturers and policymakers flagged as a major concern.
This week, the US House advanced the AGOA Extension Act (H.R. 6500), which would extend AGOA preferences for three years. The bill has been engrossed in the House (Jan. 12, 2026) and awaits further action in the Senate before it can become law.
In Washington, the push for AGOA renewal has increasingly been framed through strategic competition with China. Ways and Means Committee Chairman Jason Smith urged urgency on AGOA, arguing Beijing is leveraging large-scale investments to entrench its market position across Africa.
Kenya’s China track has also drawn scrutiny from some US officials. AFP reports that Senator James Risch previously called for an investigation into Kenya’s trade relations with Beijing, as Chinese financing and construction have expanded in Kenyan infrastructure.
Kenyan officials have pushed back on claims of external pressure shaping Nairobi’s decisions. Foreign Affairs Principal Secretary Korir Sing’Oei said reports suggesting the China deal was delayed to prioritize AGOA were “completely unfounded,” adding Kenya sees “no tension” between pursuing a China market-access arrangement and advocating for AGOA reauthorization.
