Connect with us
Maduka University Advert

Foreign

Trump’s tariff threatens $10bn US-Nigeria trade

Published

on

Maduka University
•25-year duty-free AGOA partnership in danger, Nigerian-American commerce chamber worries

•Nigeria’s crude revenue may plunge as US begins enforcement Wed, NACCIMA raises concerns

The newly imposed 14 per cent tariff by US President Donald Trump on exports by Nigerian businesses presents a significant risk to the $10bn annual exports to the United States, potentially disrupting key sectors such as oil export and agricultural trade, experts and trade associations concerned about a potential global trade war stated on Thursday.

The economic experts, in separate interviews noted that the policy, which would raise the prices of goods and services for consumers, would weaken the standard of living, slow down manufacturing activities, hinder international trade and consequently weaken demand for Nigerian oil in the US, one of its key markets.

The experts also predicted that Nigeria’s oil earnings were poised for a significant decline following the announcement of the new tariff regime.

Advertisement

National President of the Nigerian-American Chamber of Commerce, Sheriff Balogun, stated that since the inception of the African Growth and Opportunity Act in 2000, Nigeria had exported an estimated $277bn worth of goods to the United States, with crude taking the majority.

Nigeria’s exports to the United States currently average between $10bn and $12bn annually, although it has been fluctuating in recent years, according to US and Nigerian trade data.

Trump had announced in a decision widely condemned by the European Union and exporting nations that countries seeking to sell goods to the United States would now face taxes as high as 50 per cent.

The announcement, made during a ‘Make America Wealthy Again’ event in the Rose Garden, marked a dramatic shift from decades of free-trade orthodoxy that had underpinned the global economy since World War II.

He said the new sweeping tariffs of at least 10 per cent on all countries were part of a broader strategy aimed at rebalancing global trade and addressing perceived unfair trade practices.

Advertisement

According to the Trump administration, Nigeria imposes a 27 per cent tariff on US exports, a disparity they claim has long been detrimental to American businesses and consumers. It said the higher tariffs were charged through currency manipulation and trade barriers.

Our correspondent gathered that the reciprocal tariff was calculated based on the trade deficit for the US in goods with the particular country divided by the total goods imports from that country, and then divided that number by two. A trade deficit occurs when a country buys (imports) more physical products from other countries than it sells (exports) to them.

In his address, Trump framed the tariff as part of a larger initiative to protect American industries and ensure that other nations play by what he described as “fair” trade rules.

Trump declared the start of what he called a new era of “fair trade”, promising to “supercharge America’s industrial base” and force open foreign markets long accused of shutting out US goods.

“This is one of the most important days in American history,” Trump said. “We will supercharge our domestic industrial base. We will pry open foreign markets and break down foreign trade barriers, and ultimately, more production at home will mean stronger competition and lower prices for consumers.

Advertisement

“This will be, indeed, the golden age of Americans coming back. We are going to come back very strongly.”

Responding to the development, NACC president Balogun warned that the policy could impact trade volumes worth $277bn.

“Since the African Growth and Opportunity Act began in 2000, Nigeria has exported an estimated $277bn worth of goods to the United States under the programme,” he stated. “The vast majority of this trade value comes from crude oil shipments, with petroleum products overwhelmingly dominating Nigeria’s AGOA exports each year. In fact, oil alone accounts for nearly all of Nigeria’s exports under the initiative by value.”

Economic experts say this move threatens Nigeria’s exports to the US, particularly petroleum goods, its major export product. With oil accounting for the bulk of Nigeria’s export revenue, the move could exacerbate economic challenges, including a weaker naira and rising inflation. Additionally, reciprocal tariffs on imported goods like wheat and vehicles could further drive up local prices, compounding the financial strain on businesses and consumers alike.

According to Afreximbank research, the 14 per cent reciprocal tariff will reduce oil demand and lower forex earnings, while higher tariffs on wheat and vehicles may increase local prices; key exports include oil, cocoa, and rubber, while key imports include wheat, refined petroleum, and vehicles.

Advertisement

It added that these tariffs could reduce export revenues, increase production costs, and disrupt investment flows, particularly for nations heavily reliant on US trade.

Nigeria’s main exports to the U.S. included crude petroleum, petroleum gas, and nitrogenous fertilisers, flour and meals of soya beans, urea, refined lead, flowers buds and natural gas, while the western country mainly exported cars, refined petroleum, and wheat to Nigeria.

According to the National Bureau of Statistics, Nigeria’s trade with the United States reached a combined N31.1 trillion in ten years between 2015 and 2024. An analysis of the foreign trade report showed that N16.4tn was recorded as exports and N14.71tn in imports, indicating a trade surplus of N1.64tn

A breakdown showed that Nigeria exported goods worth N344.27bn in 2015 and received N581.99bn as imports. In 2016, it increased to N1.03tn in exports and N706.09 in imports. Exports surged to N1.73tn in 2027, N1.094tn in 2018, N1.01tn in 2019 before dropping to N382.19bn in 2020 due to the pandemic. By 2021, exports increased to N800.34bn, N1.82tn in 2022, N2.61tn in 2023 and N5.52tn in 2024.

The tariffs also come just as the US began importing jet fuel from Nigeria’s Dangote Refinery, with six vessels carrying 1.7 million barrels arriving this month.

Advertisement

The CEO, Cowry Asset Management Limited, Johnson Chukwu, explained that crude oil exports from Nigeria may remain unaffected by the tariff.

“Trump has already exempted tariffs on energy products, including crude oil, copper, and gold, so, it won’t directly impact our oil exports to the US. However, agricultural exports could take a hit,” he explained.

Chukwu added that while Nigeria was not a major non-oil exporting nation, the larger concern is that the US tariffs could lead to reduced global production. “Once production declines, demand for crude will fall, bringing down oil prices and likely affecting Nigeria’s projected revenue for the year,” he warned.

Beyond crude oil, the broader implications of the tariff war include rising consumer prices and weaker economic activity worldwide.

The economist noted that as countries adjusted to the new trade landscape, the cost of goods and services would rise, leading to a lower standard of living and a slowdown in manufacturing and international trade.

Advertisement

“However, at the general level, what Trump has done would trigger a higher cost of goods and services globally because countries would add it to their economies and it will be borne by final consumers. So, prices will go up in almost all the jurisdictions, the standard of living will weaken, manufacturing activities will slow down, and international trade will slow down. Ultimately, where it will affect Nigeria is that the demand for crude will decline because production will go down, and once the demand reduces, it means the price will come down and likely affect the projected revenue from crude sales this year. We are not a strong non-oil exporting country, so it may not affect our agricultural products, but reduced demand will affect our crude revenue,” he added.

Already, crude oil prices took a sharp hit on Thursday, with Brent crude dropping below $70 per barrel following an unexpected increase in production by OPEC+.

The CEO, Centre for Promotion of Private Enterprises, Muda Yusuf, highlighted the indirect effects Nigeria might face.

“The Trump administration has practically brought closure to the AGOA trade window. Additionally, the trade war and retaliatory tariffs could trigger inflationary pressures in the U.S., leading to higher costs for imports into Nigeria,” he said.

Yusuf also warned that disruptions in global supply chains could weaken economic growth worldwide, potentially lowering crude oil prices — a development that would reduce Nigeria’s foreign reserves and revenue.

Advertisement

Despite these challenges, Yusuf noted that the shifting trade landscape could present new opportunities for Nigeria.

“Many countries affected by the trade war will seek new bilateral trade relationships, which may create investment opportunities for Nigerian businesses,” he explained.

However, he cautioned that if US inflation worsens, the Federal Reserve may tighten monetary policy, leading to higher interest rates and capital outflows from emerging economies—potentially putting further pressure on the naira’s exchange rate.

On his part, the Director General, Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture, Sola Obadimu, urged the Federal Government to focus on domestic economic growth rather than overreacting to U.S. policies.

He emphasised that every country, including the United States, implemented policies in its best interest, and Nigeria must do the same to protect its economy and create jobs.

Advertisement

Obadimu explained that the tariff aligned with former US President Donald Trump’s “America First” agenda, aimed at revitalising domestic industries and creating employment opportunities for American citizens.

“Trump’s goal has always been to make America great again, and one way to achieve that is to get factories running again,” he said. “Many factories in the U.S. have shut down due to outsourcing, and this policy is designed to discourage imports, boost local production, and generate jobs. It’s a valid argument.”

However, he stressed that the real concern for Nigeria should be its own economic strategy. He pointed out that the country exports mostly crude oil and raw agricultural products with little value added, effectively outsourcing jobs instead of creating employment locally. To address this, he called for policies that prioritize industrialization and job creation.

“We cannot industrialise on generators. We should aim for 150,000 megawatts of electricity, add value to our products, and employ more people,” he urged. While noting that Trump’s policies could be overturned by a future administration, Obadimu emphasised that Nigeria must take proactive steps to safeguard its economy from external shocks and long-term poverty.

In addition to the 14 per cent tariff on Nigerian exports, Trump also unveiled a broader trade policy that included a baseline 10 per cent tariff on all US imports.

Advertisement

The new tariffs, which take immediate effect, apply to more than 50 countries.

They include major trade partners like China, the European Union, India, and Japan, as well as developing economies in Asia, Africa and Latin America.

The new policy is a dramatic shift in global trade and economic policy, rattling markets and stirring fears of a global trade war.

Aside from Nigeria, some African countries that will bear the brunt of the new policy include Algeria (30 per cent); Lesotho (50 per cent); Mauritius (40 per cent); Kenya (10 per cent); Namibia (21 per cent) and Ethiopia as well as Ghana 10 per cent apiece. South Africa was handed down a reciprocal tariff of 30 per cent.

Other countries, including China, got 34 per cent, India (26 per cent), South Korea (25 per cent), Japan 24 (per cent), Taiwan (32 per cent), United Kingdom (10 per cent), Vietnam (46 per cent), Switzerland (31 per cent), Cambodia 49 (per cent) South Africa (30 per cent), Indonesia (32 per cent), Brazil (10 per cent) and Singapore (10 per cent).

Advertisement

Trump said the baseline 10 percent tariff would start on April 5, while higher rates on various partners would begin on April 9.

Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Foreign

Four Nigerians Jailed 17 Years Over Fake Marriage Document Scheme in UK

Published

on

Maduka University

Four Nigerians have been sentenced to a combined 17 years and nine months in prison by a United Kingdom court for their roles in a fraudulent scheme involving thousands of fake Nigerian marriage documents used to facilitate illegal immigration.

The four were sentenced at Woolwich Crown Court after being found to have participated in a network that allegedly produced more than 2,000 forged Nigerian customary marriage certificates between 2019 and 2023.

The fake documents were reportedly used to support applications under the UK’s EU Settlement Scheme, enabling people who were otherwise ineligible to obtain immigration status in the country.

The convicts were identified as Abraham Alade Olarotimi Onifade, 41; Abayomi Aderinsoye Shodipo, 38; Nosimot Mojisola Gbadamosi, 31; and Adekunle Kabir, 54.

Onifade was sentenced to six years in prison for conspiracy to facilitate illegal entry and fraud, while Shodipo received five years for the same offences.

Advertisement

Gbadamosi was sentenced to six years after being convicted of obtaining leave to remain by deception.

Kabir received a nine-month prison sentence for possession of a false identity document.

The case highlights the serious criminal and immigration consequences of using forged documents to obtain UK immigration status.

Continue Reading

Foreign

Black Boxes Recovered From Amazon Cargo Plane Crash in Miami

Published

on

Maduka University

Investigators have recovered the flight recorders from an Amazon cargo plane that crashed while attempting to land at Miami International Airport, as authorities continue efforts to recover victims and determine what caused the deadly incident.

Five people were killed and five others seriously injured when the Boeing 767-300, operated by 21 Air, overran the runway shortly before 2pm local time on Sunday.

The aircraft, which had two crew members aboard, was arriving from San Juan, Puerto Rico, on its third flight of the day when it crashed.

According to the National Transportation Safety Board (NTSB), the plane struck airport navigational equipment before breaking through a perimeter fence and hitting two vehicles—a white Ford cleaning van carrying seven people and a Toyota Corolla with three occupants.

The aircraft eventually came to rest about 1,300 feet (394 metres) beyond the runway.

Advertisement

NTSB Chairwoman Jennifer Homendy said investigators were still in the fact-finding stage and warned against drawing conclusions about the cause of the crash.

She described the scene as “devastating” and said the immediate priority was recovering the victims.

“The investigation and access to the aircraft, as well as evidence, can wait,” Homendy said.

The flight data recorder and cockpit voice recorder have been recovered and will be transported to NTSB headquarters for detailed analysis.

Investigators are expected to examine the aircraft’s flight history, the crew’s experience and training, radar information, aircraft performance, mechanical systems and engines.

Advertisement

A meteorologist will also assess weather conditions at the time of the crash.

Earlier analysis by BBC Verify indicated that an active thunderstorm was near the airport shortly before the incident, with winds reportedly gusting to about 26 knots (48km/h).

The NTSB will also investigate whether the runway should have been equipped with an Engineered Materials Arresting System (EMAS), which is designed to help stop aircraft that overrun runways.

Homendy described the issue as a key part of the investigation.

The NTSB has appealed to members of the public who may have photographs or videos of the crash to submit them to investigators.

Advertisement

The agency said it would issue safety recommendations at the conclusion of the investigation, with Homendy stressing the need to prevent similar tragedies in the future.

Meanwhile, two of Miami International Airport’s four runways remained closed following the crash, with passengers warned to expect further disruption.

The incident occurred during the US Labor Day holiday weekend, one of the country’s busiest travel periods, resulting in flight cancellations and disruption to aircraft and crew movements.

Amazon expressed grief over the loss of lives and said it was working closely with authorities.

21 Air, the company operating the aircraft, also expressed condolences to the victims and their families and said it was cooperating fully with the investigation.

Advertisement

The investigation into the crash is ongoing.

Continue Reading

Foreign

‘My Nigerian Husband Vanished After Getting UK Visa’ — British Woman

Published

on

Maduka University

A 68-year-old British woman, Dawn Ottewell, has claimed that her 31-year-old Nigerian husband, Bright Emokpae, disappeared from their home months after moving to the United Kingdom on a spouse visa.

Ottewell, from Dewsbury, West Yorkshire, told The Sun UK that she met Emokpae, an Edo State native, on dating platforms Tinder and Plenty of Fish in 2021 while she was experiencing loneliness and depression.

According to her account, Emokpae initially introduced himself as “Brian Thomas” before later revealing that he was a fashion student from Benin City.

The relationship reportedly developed through regular video calls, after which Ottewell travelled to northern Cyprus, where Emokpae was studying on a student visa.

The couple married at a registry office in Nicosia on March 22, 2022, with two Turkish friends acting as their best man and maid of honour.

Advertisement

Following the wedding, Emokpae returned to Nigeria to process his UK spouse visa. About a year later, after the visa was granted, Ottewell travelled to Heathrow Airport to welcome him to Britain.

However, Ottewell said their relationship deteriorated after his arrival in the UK.

She alleged that Emokpae became increasingly distant, regularly asked her for money and refused to contribute to household expenses, while allegedly sending money to Nigeria.

Her 72-year-old brother, Rory, reportedly helped Emokpae secure a job with a local door manufacturing company.

The couple separated briefly in October 2023 but later reconciled, about six months after the separation. Ottewell said the reconciliation occurred after she received a £63,000 settlement following what she described as a botched NHS prolapse operation.

Advertisement

She now says she regrets taking him back.

Ottewell recalled that shortly before Christmas 2024, she went on a £2,000 Caribbean cruise with her brother. When she returned home, she allegedly discovered that Emokpae had left.

She said he has not returned since and has blocked her on social media, leaving her unable to contact him.

Ottewell believes her estranged husband may now be living in Scotland, where she suspects he runs an online clothing business.

“He’s done a runner and is refusing to sign the divorce papers because I believe he wants to cling on to his spouse visa,” she said.

Advertisement

The woman also expressed concern about what could happen to her estate if she dies before their marriage is legally dissolved.

“My biggest fear is that I’ll die before this is sorted out and he’ll run off with the money my three children should inherit,” she said.

Ottewell said she does not currently have a will and fears Emokpae could potentially make claims against some of her assets, including jewellery, cash and furniture.

She is now seeking assistance from Citizens Advice to help locate her estranged husband and serve him with divorce papers.

“I feel I’m being used,” Ottewell said.

Advertisement

She also advised people to exercise caution when entering relationships that involve international partners, saying she believed her husband had married her primarily to obtain a UK visa.

However, her claims about Emokpae’s motives have not been independently established.

Continue Reading

Foreign

UK-Based Nigerian Taxi Driver Jailed Six Years After Falling Asleep at Wheel, Killing Man

Published

on

Maduka University

A UK-based Nigerian taxi driver, Kolawole Erunkulu, 45, has been sentenced to six years in prison after falling asleep at the wheel and fatally hitting a 59-year-old man.

Erunkulu, from Bexleyheath, was driving an Audi on August 17, 2025, when he suffered a “microsleep”, causing the vehicle to leave the road and collide with Philip Dray, who had stopped in a lay-by.

Dray was getting into his Volkswagen after taking a break from driving when he was struck.

According to reports, Erunkulu had worked for about 12 hours on the day of the crash, taking only short breaks. In the three days before the fatal collision, he had driven for 53 hours, with his longest rest period being seven hours.

Footage from inside his vehicle showed Erunkulu falling asleep briefly before the Audi swerved off the road and hit Dray. The vehicle continued moving for about 10 seconds after the collision.

Advertisement

A microsleep is a brief episode of sleep that can last only a few seconds, during which the brain fails to properly process information.

Erunkulu pleaded guilty in June 2026 to causing death by dangerous driving.

He was sentenced to six years in prison and disqualified from driving for eight years. He will also be required to pass an extended driving test if he seeks to regain his licence.

Sentencing him, Her Honour Judge Lees said the footage demonstrated that Erunkulu was extremely tired and should have known that he was not fit to drive.

“The footage shows the defendant was extremely tired and, in my view, has continued to drive when he must have known that. He was driving commercially,” the judge said.

Advertisement

She added that the incident could have been prevented if Erunkulu had stopped driving and slept.

Acting Detective Inspector Rob Baldwin of the Serious Collision Investigation Unit said the case highlighted the potentially devastating consequences of driving while fatigued.

He said Erunkulu had worked long hours with insufficient rest, resulting in a “sleep debt”.

“Fatigue can seriously impair a driver’s ability to remain alert and react safely, particularly during the early hours of the morning when the natural drive to sleep is at its strongest,” Baldwin said.

He urged motorists who feel tired not to continue driving.

Advertisement

Dray’s family described him as “an amazing partner and man” who was dependable, caring and respectful.

His sister said Philip was a quiet man who cared deeply about others and had spent his life as a careful and conscientious driver.

“The fact that he, someone who worked every day to keep others safe, had his life taken in such a way makes this loss even more incomprehensible and tragic,” she said.

Dray’s partner described him as “a sweet, gentle, and caring man” and her “soulmate”.

She said his death had left an “enormous emotional and physical void” in her life.

Advertisement

“He would ring me several times a day whenever he was waiting for a client or at lunch, just to see how my day was going. I miss those calls very much,” she said.

Continue Reading

Foreign

UK: 11 Drug Couriers Convicted Over £13.8m Cannabis Smuggling Plot Through Birmingham Airport

Published

on

Maduka University

Eleven drug couriers have been convicted for their roles in a plot to smuggle cannabis worth an estimated £13.8 million into the United Kingdom through Birmingham Airport.

The National Crime Agency (NCA) investigated the group after Border Force officers arrested them in August 2024 and seized 460kg of cannabis concealed in 22 suitcases.

According to an NCA statement published on Wednesday, the couriers had travelled to the UK from Thailand via Paris Charles de Gaulle Airport on the same flights.

The convicted couriers were identified as Carsten Kyei, 21, from Newham, East London; Bradley Lloyd, 27, and Claire McCullough, 36, both from Wythenshawe, Greater Manchester; Lewis Ross, 35, from Bolton, Lancashire; Nathan Vitorino, 26, from Welwyn Garden City, Hertfordshire; Ryan Boachie, 32, from Edmonton, North London; Gideon Oluwasetemi Olumoyegun, 26, from Dagenham; Tasia Nelson, 22, from Newquay, Cornwall; Jaden Ramen, 23, from Colliers Wood, South London; Paige Crisp, 24, from Broomhall, Worcester; and Jamal Clarke, 22, from Walthamstow, London.

Birmingham Crown Court heard that each courier had two suitcases, with each suitcase containing about 20kg of cannabis.

Advertisement

The suitcases were reportedly so heavy that the couriers had to pay excess baggage charges at Bangkok Airport to have them placed in the aircraft hold.

The cannabis had been vacuum-packed and concealed beneath a thin layer of clothing. Eight of the suitcases also contained Apple AirTag trackers, which NCA investigators established were connected to the same Apple ID account.

Suspicion was raised after Border Force established that four passengers had travelled from Birmingham to Charles de Gaulle Airport earlier on August 9, 2024, each carrying two large suitcases.

Border Force officers subsequently fully staffed the Nothing to Declare channel and intercepted the group.

One of the couriers had also been instructed by an associate: “my man gonna be on the other side – don’t leave the airport until you see him leave.”

Advertisement

Kyei and Vitorino were convicted on May 26, 2026, following a three-week trial, while Ross and Lloyd changed their pleas to guilty during the trial.

Crisp, Nelson and Ramen were convicted on Wednesday, August 19, following a four-week trial.

McCullough, Boachie, Olumoyegun and Clarke had previously pleaded guilty.

Those convicted on August 19 will be sentenced on October 22, while the others will be sentenced on September 3.

NCA Senior Investigating Officer Paul Boniface said the operation involved extensive planning.

Advertisement

“A huge amount of planning went into this sophisticated attempt to bring hundreds of kilos of cannabis into the UK,” Boniface said.

He said the coordination of flights and luggage demonstrated “the lengths criminals will go to in order to hide their offending.”

“With thanks to Border Force, we were able confiscate these drugs and stop criminals from benefitting financially from the damage they cause,” he added.

Boniface warned people against agreeing to smuggle drugs into the UK, saying anyone who attempted to do so would face justice.

Adam Chatfield, Head of Border Force Midlands Command, said the convictions should serve as a warning to anyone considering transporting cannabis into the UK.

Advertisement

He said the young people involved now faced serious consequences, including criminal records that could affect their employment opportunities and future prospects.

Victoria Norman of the Crown Prosecution Service said prosecutors and investigators had pieced together evidence of a coordinated attempt to smuggle large quantities of drugs into the country.

She said the evidence resulted in six members of the group pleading guilty, while the others were convicted following trial.

Continue Reading
Advertisement

Trending