U.S.A TO NIGERIA TRADE POLICY
2020 Trade Policy Agenda
2019 Annual Report
of the President of the United States
on the Trade Agreements Program
Office of the United States Trade Representative
Ambassador Robert E. Lighthizer
2020 TRADE POLICY AGENDA
THE PRESIDENT’S TRADE POLICY AGENDA
President Trump promised to make fundamental changes to U.S. trade policy in order to achieve results
that benefit all Americans, and the President has kept that promise. Actions taken to implement the
President’s trade policy led to a historic year for American trade. Over the last year:
The President confronted China’s unfair trade policies and practices head-on and imposed
substantial tariffs, resulting in a groundbreaking Phase One trade agreement with China. This
agreement obligates China to take actions to cease its unfair trade policies and practices that harm
U.S. business, workers, farmers, and ranchers. At the same time, China has committed to
significantly increase its purchase of goods and services from the United States. The United States
continues to maintain tariffs on approximately $370 billion in goods from China and has express
authority under the agreement to take additional action to enforce China’s compliance.
The President signed into law the United States–Mexico–Canada Agreement (USMCA), an
agreement that rebalances the U.S. trade relationship with Mexico and Canada, implements
groundbreaking provisions for electronic commerce, establishes robust protections for labor and
environment, and incentivizes manufacturing in the United States.
The United States entered into two separate agreements with Japan, the world’s third-largest
economy, that will create massive export opportunities for American farmers and boost the
approximately $40 billion in digital trade currently between the two countries.
The United States won the largest award in World Trade Organization (WTO) history, obtaining
the right to impose countermeasures on $7.5 billion of goods from the European Union (EU) in
response to the harm to U.S. interests caused by EU Member States’ subsidies to Airbus.
The United States initiated action against France for its unfair and discriminatory “digital services
tax” that targeted American technology companies, resulting in an agreement to suspend collection
of the tax.
The United States brought about a fundamental rethinking of the World Trade Organization, an
institution that has strayed far from its original mission and purpose.
Implementation of the President’s trade agenda has benefitted all Americans. The economy is strong,
unemployment is at an all-time low, increasing numbers of Americans who left the job market are now
working again, and wage growth has accelerated.
Perhaps most significantly, however, the President’s trade agenda has helped those Americans most harmed
by the failed policies of the last 25 years. In the decades following the North American Free Trade
Agreement’s (NAFTA) implementation and China’s accession to the WTO, America lost 1 in 4
manufacturing jobs, more than 60,000 American factories were shut down, and millions of high-paying
U.S. jobs were shipped overseas. President Trump committed to ending disastrous trade deals of the past,
and he delivered.
Elements of the U.S. Trade Policy
The U.S. trade policy and investment system includes the World Trade Organization (WTO) agreements which form the "multilateral bedrock of U.S. trade policy"1, its tariff, tariff rate quotas, 14 reciprocal free trade agreements, 5 preferential trade programs, 51 trade and investment framework agreements, 48 bilateral investment treaties, trade remedies, a trade agreement enforcement program, trade and development programs, measures which affect imports (e.g. Customs regulations), measures that affect exports (e.g., export promotion), and sector programs (e.g., subsidies to agriculture).
This section provides sources of information on many of these aspects of the U.S. trade and investment system, and identifies more than 60 other elements of U.S. trade policy that can be researched by using other sources noted in this guide.
AGOA Status: Nigeria is eligible for AGOA this year. It also qualifies for textile and apparel benefits.
Trade Agreements: The U.S. and Nigeria signed a Trade & Investment Framework Agreement (TIFA) in 2000. The eighth U.S.-Nigerian TIFA Council Meeting was held in March 2014.
U.S.-Nigeria Trade Facts
In 2019, Nigeria GDP was an estimated $446.5 billion (current market exchange rates); real GDP was up by an estimated 2.2%; and the population was 201 million. (Source: IMF)
U.S. goods and services trade with Nigeria totaled an estimated $10.4 billion in 2019. Exports were $5.3 billion; imports were $5.1 billion. The U.S. goods and services trade surplus with Nigeria was $251 million in 2019.
Nigeria is currently our 54th largest goods trading partner with $7.8 billion in total (two way) goods trade during 2019. Goods exports totaled $3.2 billion; goods imports totaled $4.6 billion. The U.S. goods trade deficit with Nigeria was $1.4 billion in 2019.
Trade in services with Nigeria (exports and imports) totaled an estimated $2.6 billion in 2019. Services exports were $2.1 billion; services imports were $464 million. The U.S. services trade surplus with Nigeria was $1.7 billion in 2019.
Nigeria was the United States' 52nd largest goods export market in 2019.
U.S. goods exports to Nigeria in 2019 were $3.2 billion, up 19.1% ($512 million) from 2018 but down 13.2% from 2009.
The top export categories (2-digit HS) in 2019 were: vehicles ($938 million), cereals (wheat) ($494 million), machinery ($479 million), mineral fuels ($287 million), and plastics ($189 million).
U.S. total exports of agricultural products to Nigeria totaled $608 million in 2019. Leading domestic export categories include: wheat ($473 million), prepared food ($24 million), wine & beer ($24 million), condiments & sauces ($11 million), and vegetable oils (ex. soybean) ($7 million).
U.S. exports of services to Nigeria were an estimated $2.1 billion in 2019, 5.1% ($115 million) less than 2018, but 63.8% greater than 2009 levels. Leading services exports from the U.S. to Nigeria were in the travel, transport, and technical and other services sectors.
Nigeria was the United States' 51st largest supplier of goods imports in 2019.
U.S. goods imports from Nigeria totaled $4.6 billion in 2019, down 17.9% ($1.0 billion) from 2018, and down 75.9% from 2009.
The top import categories (2-digit HS) in 2019 were: mineral fuels ($4.4 billion), special other (returns) ($80 million), oilseeds and oleaginous fruits (plants) ($15 million), fertilizers ($11 million), and cocoa ($10 million).
U.S. total imports of agricultural products from Nigeria totaled $50 million in 2019. Leading categories include: cocoa beans ($8 million), feeds & fodders ($8 million), tea, including herbal ($8 million), spices ($7 million), and tree nuts ($6 million).
U.S. imports of services from Nigeria were an estimated $464 million in 2019, 1.3% ($6 million) less than 2018, but 7.9% less than 2009 levels. Leading services imports from Nigeria to the U.S. were in the travel, research and development, and transport sectors.
The U.S. goods trade deficit with Nigeria was $1.4 billion in 2019, a 51.9% decrease ($1.5 billion) over 2018.
The United States has a services trade surplus of an estimated $1.7 billion with Nigeria in 2019, down 6.2% from 2018.
U.S. foreign direct investment (FDI) in Nigeria (stock) was $5.5 billion in 2019, a 21.5% increase from 2018. There is no information on the distribution of U.S. FDI in Nigeria.
Nigeria's FDI in the United States (stock) was $105 million in 2019, up 29.6% from 2018. There is no information on the distribution of Nigeria FDI in the U.S.
Sales of services in Nigeria by majority U.S.-owned affiliates were $921 million in 2017 (latest data available), while sales of services in the United States by majority Nigeria-owned firms were $5 million.