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    BREAKING: ASUU suspends two-week warning strike

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    National Cybercrime Centre dismantles WhatsApp fraud syndicate targeting Nigerian elites

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Home In the News

US-China Trade War Wreaking Havoc on Africa’s Economy, PAMA Warns

Ademola Damilola by Ademola Damilola
October 1, 2024
in In the News, News
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US-China Trade War Wreaking Havoc on Africa’s Economy, PAMA Warns
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The Pan-African Manufacturers Association (PAMA) has raised concerns over the severe economic strain the ongoing trade war between the United States and China is placing on Africa. The association highlighted the disruption of supply chains, increased production costs, and market uncertainties, all of which have significantly impacted African manufacturers.

In its September bulletin, Manufacturing Global News, PAMA explained that the trade war, which began in 2018, has worsened Africa’s access to essential raw materials and machinery from China, while African exports to the U.S. are facing more competition as American firms search for alternative markets amid rising tariffs on Chinese goods.

These challenges are exacerbated by a global economic slowdown and persistent inflation. Many African manufacturers are now calling for government intervention and urging a stronger focus on intra-African trade through initiatives like the African Continental Free Trade Area (AfCFTA).

PAMA emphasized that in today’s interconnected global economy, trade wars not only affect the countries directly involved but also create widespread repercussions, particularly in the manufacturing sector, which has been hit hard by supply chain disruptions and rising costs.

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