Nigeria’s export ambitions at risk as Trump proposes additional 10% tariff on BRICS nations
Nigeria’s export ambitions at risk as Trump proposes additional 10% tariff on BRICS nations
Nigeria’s already fragile economy could face further setbacks if U.S. President Donald Trump proceeds with his plan to impose an additional trade tariff on countries aligning with the BRICS bloc.
BRICS—comprising Brazil, Russia, India, China, and South Africa—has recently faced increased scrutiny from the U.S. over its growing influence. If implemented, the new tariff would raise Nigeria’s total import duty to the U.S. to 24 percent, following an earlier 14 percent levy announced by Trump on April 2, which he referred to as “Liberation Day.”
Economic analysts warn that the proposed 10 percent increase could severely impact Nigeria’s export diversification efforts, undermining its push to expand trade beyond oil.
The tariff threat comes shortly after the conclusion of the BRICS summit in Brazil, where member nations condemned the U.S. tariffs as arbitrary and harmful to global trade.
It’s worth recalling that on April 2, Trump unveiled a sweeping package of import tariffs, applying a baseline 10 percent duty on 185 countries, including Nigeria, and escalating rates for select trade partners he labeled as “bad actors,” triggering fresh tensions with key global economies, particularly China.
While unveiling the tariffs, Trump said he could have gone higher by imposing higher tariffs to match what each country charges to US.
“The tariffs will be not a full reciprocal. I could have done that, yes, but it would have been tough for a lot of countries who didn’t want to do that,’’ he said.
He however, offered three months reprieve to allow countries negotiate, with only United Kingdom and Vietnam now reaching deal with US, while Washington and Beijing agreed to temporarily lower staggeringly high levies on each other’s products.
Trump also warned that he would impose unilateral levies on partners unless they reached “deals” by August 1.
But voicing concerns about the rise of unilateral tariff measures, BRICS members, Sunday, decried the imposition, warning that they were illegal, arbitrary and risked hurting the global economy.
Responding, Trump lashed out at the 11 nations of BRICS, vowing to impose an extra 10 per cent tariff on the bloc.
“Any country aligning themselves with the anti-American policies of BRICS, will be charged an additional 10 per cent tariff. There will be no exceptions to this policy,” Trump wrote on his Truth Social platform Sunday.
BRICS members also comprised six coalition members, such as Egypt, Ethiopia, the United Arab Emirates UAE, Iran, Saudi Arabia, and Indonesia, which joined in 2024.
Nigeria became the ninth partner country of BRICS in January 2025, joining Belarus, Bolivia, Cuba, Kazakhstan, Malaysia, Thailand, Uganda, and Uzbekistan.
The 16th BRICS Summit in Kazan in October 2024 created the partner-country category.
While Nigeria holds the position of Africa’s largest economy, it faces challenges such as high inflation, a fluctuating global oil market, and a need for diversification.
Nigeria’s economy has taken a tumble since 2023, with headline inflation reaching 28.92 per cent in December 2023 relative to 18.85 per cent in 2022, resulting in massive hardship among the populace. It rose further by 34.2 per cent in June 2024.
It, however, dropped to 27.50 per cent recently, according to the Central Bank of Nigeria, CBN
The rate has been maintained at this level by the CBN’s Monetary Policy Committee for two consecutive meetings, including the one held in May 2025.
The apex bank has had to make recent policy changes, including the removal of fuel subsidies and the flotation of the naira’s exchange rate aimed at stabilising the economy and boosting growth.
The country’s GDP has also seen fluctuating growth rates in recent years, with an average of 2.3 per cent in the decade leading up to 2023
An extra 10 per cent tariff from the US, according to economic experts, could have a high impact on Nigeria’s exports to the US.
Nigeria’s primary export to the United States is crude oil, making up a significant portion of their bilateral trade. Over 90 per cent of Nigeria’s exports to the US consist of crude oil and related petroleum products.
A smaller share of Nigeria’s exports to the United States includes products such as fertiliser, agricultural goods, and manufactured items.
Although the U.S. remains one of Nigeria’s key trading partners, Nigeria accounts for only a modest portion of America’s total trade volume.
Recent analyses suggest that U.S. tariffs on Nigeria’s non-oil exports could pose a significant setback to the country’s push for export diversification.
Moreover, Nigeria’s continued dependence on crude oil exports leaves its economy exposed to volatile global prices and shifts in international demand.
