WASHINGTON: The $500 million US-Africa investment program should help African manufacturers compete with Chinese imports, two Foundation for Defence of Democracies analysts argued on August 8.
Daniel Swift and Cameron Timlin made the recommendation in an opinion essay published by The Hill. They called for greater US involvement in the African Continental Free Trade Area.
The authors said Chinese goods were gaining market share in textiles, steel, vehicles, machinery and electronics. They described some of those exports as subsidised dumping. However, the essay did not provide product-level price or subsidy data.
World Bank data placed manufacturing value added in Sub-Saharan Africa at about 10% of gross domestic product in 2025. The authors argued that stronger import competition could limit the sector’s expansion.
They also said Chinese lending reduced some African governments’ freedom to impose tariffs. However, the essay presented that conclusion as analysis rather than evidence from named governments.
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Swift and Timlin recommended coordinated external tariffs and protections for developing industries through the African Continental Free Trade Area.
They also urged Washington to support technical discussions on investment, competition and digital trade rules.
The US Department of State program offers up to 10 grants, each worth $5 million to $50 million. Its two focus areas are critical minerals investment and the acceleration of commercial diplomacy.
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Meanwhile, the authors called for the US International Development Finance Corporation to develop additional infrastructure-financing instruments. They said those tools could give African governments alternatives to China-linked financing.