US 12.5% tariff on Nigeria exports seen as limited impact by economist
The United States imposed a 12.5 percent tariff on imports from Nigeria, citing alleged failures to enforce forced‑labour rules. Economist Dr. Muda Yusuf, former head of the Lagos Chamber of Commerce and Industry, says the tariff’s effect on Nigeria’s economy will be modest. He notes that over 80 % of Nigeria’s merchandise exports to the US are crude oil, liquefied natural gas and other petroleum products, which are exempt from the new duties, leaving most of that trade untouched. Moreover, the United States accounted for only 5.56 % of Nigeria’s total merchandise exports in the first quarter of 2026, amounting to roughly N1.2 trillion of the N21.6 trillion total. By comparison, India, France, the Netherlands and Spain each took larger shares, making the US the fifth‑largest destination. While some non‑oil exporters in agriculture and manufacturing could see reduced competitiveness in the US market, the overall impact on export earnings, foreign‑exchange inflows and macro‑economic stability is expected to be limited. Given the limited exposure, should Nigerian producers focus on expanding sales to India, the EU and other larger markets, or absorb the modest cost increase to keep their US foothold?