“On April 9, 2025, the United States will begin imposing a sweeping 14% tariff on all imports, part of a dramatic pivot in America’s global trade policy.
NAIRAMETRICS
On April 9, 2025, the United States will implement a 14% tariff on all imports, a move that could significantly impact Nigeria’s economy. The tariff, dubbed “Liberation Day” by President Donald Trump, aims to reduce U.S. reliance on foreign goods. However, for Nigeria, this policy poses serious challenges.
Nigeria’s annual exports to the U.S. are valued at approximately $10 billion, with 80% comprising crude oil. The new tariff makes Nigerian oil less competitive in the U.S. market, potentially reducing demand and revenue. This development is particularly concerning given Nigeria’s current economic struggles, including high inflation, elevated unemployment, and a declining currency.
While some analysts suggest that Nigeria’s diversified trade networks might offer some insulation, others warn that the tariff could lead to reduced foreign exchange inflows and increased inflation. The situation calls for strategic adjustments to mitigate potential adverse effects on Nigeria’s economy.