United States President Donald Trump has imposed new tariffs targeting Nigerian exports and other goods from countries with trade surpluses against the U.S.
The announcement was made under what Trump called a national economic emergency and it introduces a 10 percent tariff on all imports from specific countries, including Nigeria.
Nigeria, which has maintained a trade surplus with the United States, is now subject to these new tariffs.
In 2023, Nigeria exported $6.29 billion worth of goods to the U.S. while importing $3 billion in American goods, resulting in a $3.29 billion trade deficit against the U.S.
Nigerian exports to the U.S. are dominated by crude oil, petroleum gas, and fertilizers.
The new tariffs are expected to directly affect Nigeria’s energy sector, which accounts for most of its export earnings.
The policy will impose a heavy toll on countries identified by the U.S. administration as contributors to America’s trade imbalance.
In addition to Nigeria, major economies such as China, the European Union, South Korea, Japan, and Taiwan are included in the list of countries facing elevated tariffs ranging between 20 percent and 34 percent.
Trump defended the decision as necessary to revive U.S. manufacturing and address what he described as persistent exploitation of the American economy by foreign nations.
According to Trump, the tariffs will generate significant revenue for the U.S. government while protecting American industries from what he labeled as unfair foreign competition.
Nigeria’s petroleum sector is expected to be the most exposed following the policy shift.
The move comes at a time when the U.S. has resumed jet fuel imports from Nigeria’s Dangote Refinery, raising concerns over the competitiveness of Nigerian energy exports under the new tariff structure.
Dangote’s recent export shipments totaling 1.7 million barrels of jet fuel may face immediate cost implications.
Analysts have warned that the tariffs could undermine Nigeria’s foreign exchange earnings and worsen the country’s balance of trade position.
Nigeria’s reliance on crude oil exports for government revenue and external reserves leaves the economy vulnerable to external shocks such as the new U.S. policy.
The broader capital market is also expected to react to the development. Increased tariffs on Nigeria’s largest export to the U.S. may impact dollar inflows and pressure the naira, which has remained volatile in recent months.
Exporters in the oil and gas sector will likely be forced to renegotiate contracts or seek alternative markets to limit losses.
While U.S. policymakers project the move will strengthen domestic production, several countries have already signaled concerns, raising the possibility of retaliatory trade actions.
For Nigeria, the immediate focus will be on assessing the direct impact on crude exports and broader trade relations with the U.S., which remains one of Nigeria’s key trading partners.
The Nigerian government and key industry stakeholders are yet to issue formal statements on the development as the country evaluates its response to the unexpected trade action.
