Lesotho: Relief for Lesotho As U.S. Tariffs Expire

What the report says

AllAfrica, republishing a GroundUp report by Sechaba Mokhethi, reported that Lesotho’s exports to the United States are again set to enter duty-free after a package of U.S. tariffs lapsed on 29 July 2026. The change is a significant reprieve for Lesotho’s export-focused garment industry, which had faced reduced orders, retrenchments and warnings of possible factory closures during months of trade uncertainty.

According to the report, Lesotho’s Ministry of Trade, Industry and Business Development said the expiry of 122 tariffs imposed in February restored the country’s preferential access under the African Growth and Opportunity Act, returning eligible exports to a zero-duty arrangement. The ministry identified textiles, apparel and fisheries products among the goods covered. It also said Lesotho was not included in a separate round of U.S. Section 301 tariffs announced on 24 July affecting 60 countries.

The development matters because clothing exports to the U.S. are a central part of Lesotho’s economy. GroundUp reported that the garment sector employs more than 30,000 people, while the International Monetary Fund had warned that more than 30,000 jobs could be at risk from the tariffs. Unions had also demonstrated in Maseru, urging government action to protect employment.

The reprieve does not remove all uncertainty. AGOA, the U.S. trade programme that provides duty-free market access to eligible African countries, is scheduled to expire on 31 December 2026 unless renewed. The ministry said Lesotho is taking part in U.S. consultations on possible changes to the programme and is also seeking more U.S. investment in its textile value chain through the Lesotho National Development Corporation.