A collective sigh of relief is sweeping through Athi River’s Export Processing Zones (EPZ) after the US House of Representatives voted overwhelmingly to extend the African Growth and Opportunity Act (AGOA) through 2028.

The bipartisan 340-54 vote offers a critical reprieve for Kenya’s textile industry, shielding billions of shillings in exports from crippling tariffs that were set to triple. With the previous pact having technically expired in September 2025, Kenyan exporters were staring down the barrel of duty rates jumping from zero to as high as 42%, a move that would have rendered Kenyan goods uncompetitive against Asian rivals.

Jobs on the Line

The extension is not just about trade balances; it is about livelihoods. Kenya is one of AGOA’s top beneficiaries, with the apparel sector employing over 66,000 Kenyans directly and supporting thousands more in the supply chain.

"Currently, manufacturers are paying full duties plus a 10% reciprocal tariff introduced under President Trump’s recent trade adjustments. This extension wipes that slate clean retroactively," explained an industry analyst. Without this renewal, the Kenya Association of Manufacturers (KAM) had warned of massive layoffs as factories would have been forced to shut down or relocate to cheaper jurisdictions.

The China Factor

The urgency of the renewal was underscored by geoeconomic competition. [...](asc_slot://start-slot-5)China recently granted zero-tariff access to 98% of African exports, aggressively courting the continent. The US move is seen as a strategic counter to Beijing's influence, ensuring Washington remains a preferred trade partner.

• The Numbers: Kenya aims to grow apparel exports from the current $600 million (approx. KES 78 billion) to $2 billion (KES 260 billion) by 2030.
• The Next Step: The bill now heads to the US Senate. Once passed and signed by the President, it will provide certainty until 2028, giving Kenya a three-year window to negotiate a permanent Free Trade Agreement (FTA).

Beyond the Fabric

While textiles dominate, the extension also covers agricultural products like macadamia nuts and coffee. For the farmer in Kiambu and the factory worker in Machakos, this vote in Washington translates directly to food on the table in Kenya. The clock is now ticking for the Ministry of Trade to utilize this window not just to export, but to fully integrate the value chain before the next deadline looms.