28 July 2026
Botswana’s diamond exports to the United States have received a major trade boost after Washington removed the temporary tariffs that had placed a 10% duty on imports from the country.
Effective from 24 July 2026, Botswana-origin exports, including natural diamonds, are entering the US market at zero tariff, restoring duty-free access and easing concerns over the competitiveness of one of the country’s most important export sectors.
The removal follows the expiry of temporary tariff measures introduced under Section 122 of the US Trade Act of 1974. The measures had been implemented after a US Supreme Court ruling invalidated the previous tariff framework based on the International Emergency Economic Powers Act (IEEPA).
Botswana’s exports had been subjected to a universal 10% tariff under the temporary arrangement, despite the country not being targeted under separate Section 301 investigations launched by the United States Trade Representative (USTR).
The investigations, announced in March 2026, focused on allegations involving forced labour-linked goods and concerns around excess production capacity in selected economies. Botswana was not included among the countries under investigation.
With the Section 122 tariffs now expired, Botswana’s immediate exposure to US trade penalties has been removed. The country continues to benefit from preferential market access under the African Growth and Opportunity Act (AGOA), which allows eligible African exports to enter the US market duty-free. However, trade authorities have warned that Botswana must now focus on protecting its long-term access to the US market, particularly through efforts to secure the renewal of AGOA before its scheduled expiry on 31 December 2026.
The future of AGOA remains a key concern, with the US administration indicating that any renewal could come with changes, including revised eligibility conditions and greater expectations for reciprocal market access.
Trade discussions are expected to intensify when the US Congress resumes in September, as Botswana and other beneficiary countries seek certainty over the future of the programme.
Beyond AGOA, India remains a major risk factor for Botswana’s diamond industry. India, a global diamond processing hub, currently faces a 10% tariff on exports to the US, with further tariff measures still possible. Although there are indications that diamonds could receive exemptions under a possible future US-India trade agreement, uncertainty remains until a final deal is concluded.
The developments affecting India’s diamond sector could indirectly affect Botswana because of the interconnected nature of the global diamond value chain, where rough diamonds from producing countries are often processed and polished in major centres before reaching international markets. Botswana’s government and industry stakeholders are therefore expected to continue monitoring US trade policies closely while strengthening diplomatic and commercial engagement to safeguard the country’s diamond exports.
Source: WeekendPost-Insightful via Facebook
