By Vita Ishmael Tue
As President Joseph Boakai and his administration prepare for the U.S.-Africa Leaders’ Summit in Washington, D.C., scheduled for July 9-11, 2025, hosted by President Donald J. Trump, he faces a crucial moment to advance Liberia’s economic interests. The summit’s timing is pivotal, especially as it coincides with the July 9, 2025, expiration of the suspension of Trump’s reciprocal trade tariffs. On July 6, 2025, United States Secretary of the Treasury, Scott Bessent warned that countries failing to negotiate the 10% baseline tariffs imposed in April 2025 risk higher rates, potentially catastrophic for a developing nation like Liberia that could explore greater trade opportunities with the United States. According to the White House, the imposition of higher tariffs on countries is scheduled to take effect on August 1, 2025. President Boakai must prioritize the removal of these tariffs, leverage historical U.S.-Liberia ties, and use tariff relief as a bargaining chip in any commercial and economic deals with Trump’s administration. The removal of tariffs is essential to protect Liberian businesses and fund Liberia’s development priorities.
The Trump’s reciprocal tariff policy targets countries with perceived unfair trade balances and practices with the United States. Currently, Liberia’s faces a 10% baseline tariff. Treasury Secretary Bessent’s recent statement that countries not making progress on tariff negotiations with the United States by the tariff decline would face higher rates, potentially up to 25%, sounds an important caveat for a small economy like Liberia, struggling to boost growth and address its many development challenges. According to World Bank reports, the size of Liberia’s economy was $4.8 billion as of 2024 with more than half of the population living below the poverty line; hence, the imposition of tariffs would be devastating, limiting trade expansion opportunities and the potential of the economy to expand and address the growing needs of the population.
According to the 2023 Central Bank of Liberia Report, Liberia’s exports to the United States were US$57.1M, although a relatively small amount compared to other regions; however, the U.S. market presents a greater potential for boosting trade as Liberia embarks on improving its product quality. The current 10 percent baseline tariff and any further increase in tariffs would only impact trade between the two countries adversely. Concomitantly, the adverse trade would reduce export revenues for Liberia and significantly impede Liberia’s capacity to adequately implement its national development strategy as planned. In more simpler terms, declines in export earnings would undermine the full execution of President’s Boakai’s ARREST Agenda, which prioritizes infrastructure, healthcare, and poverty reduction.
With the African Growth and Opportunity Act (AGOA) set to expire in September 2025, tariff-free access to the United States markets is vital to maintain export competitiveness and drive sustainable growth and development for Liberia. On the other hand, Liberian-owned small and medium-sized enterprises (SMEs) exporting agricultural products would face severe challenges from the 10% tariffs imposed by Trump’s administration. Goods like red palm oil, cassava flour, dried pepper, and dried fish, amongst others, will be particularly affected by the tariffs due to the hike in prices for consumers in the United States. These tariffs increase costs, erode profits margins, and threaten the survival of these Liberian SMEs to stay in business.
President Boakai should use tariff removal as a strategic bargaining chip in any deal that would be discussed and subsequently agreed upon between the two countries. President Boakai should demand that tariff removal be paired with United States investments in Liberia’s critical and rare earth minerals. For example, in exchange for the country’s mineral deposits, the request for zero tariffs on Liberia must be the foremost demand. By tying cooperation on minerals or security to tariff removal and assurances against higher rates, President Boakai can protect national interests. Lastly, President Boakai should frame tariff removal as a win-win. For the United States, lifting tariffs on Liberia, a small economy, poses minimal risk while signaling goodwill. For Liberia, it restores market access and funds development. President Boakai can highlight Liberia’s role in regional security to strengthen his case
With the African Growth and Opportunity Act (AGOA) set to expire in September 2025, tariff-free access to the United States markets is vital to maintain export competitiveness and drive sustainable growth and development for Liberia. On the other hand, Liberian-owned small and medium-sized enterprises (SMEs) exporting agricultural products would face severe challenges from the 10% tariffs imposed by Trump’s administration. Goods like red palm oil, cassava flour, dried pepper, and dried fish, amongst others, will be particularly affected by the tariffs due to the hike in prices for consumers in the United States. These tariffs increase costs, erode profits margins, and threaten the survival of these Liberian SMEs to stay in business.
President Boakai should use tariff removal as a strategic bargaining chip in any deal that would be discussed and subsequently agreed upon between the two countries. President Boakai should demand that tariff removal be paired with United States investments in Liberia’s critical and rare earth minerals. For example, in exchange for the country’s mineral deposits, the request for zero tariffs on Liberia must be the foremost demand. By tying cooperation on minerals or security to tariff removal and assurances against higher rates, President Boakai can protect national interests. Lastly, President Boakai should frame tariff removal as a win-win. For the United States, lifting tariffs on Liberia, a small economy, poses minimal risk while signaling goodwill. For Liberia, it restores market access and funds development. President Boakai can highlight Liberia’s role in regional security to strengthen his case.
Further, President Boakai needs to stress that Liberia brings significant value to any bilateral deal through its vast natural resources, including deposits of valuable minerals, which align with the Trump administration’s focus on securing critical minerals for clean energy and technology. Liberia hosts large-scale operations like ArcelorMittal’s Tokadeh mine, which exports iron ore to Europe and Asia, and the New Liberty Gold Mine, West Africa’s largest commercial gold mine. Lithium deposits, increasingly vital for batteries, position Liberia as a key player in the global energy transition. Additionally, Liberia has over 160 kimberlite occurrences for diamonds and potential for bauxite, manganese, and phosphate, though exploration remains limited. These resources make Liberia a strategic partner for the United States, which seeks to diversify supply chains away from China.
President Boakai can leverage this mineral wealth to negotiate favorable trade terms, emphasizing Liberia’s role in United States economic and geopolitical strategies.
Therefore, with less than a day, the U.S.-Africa Leaders’ Summit is Liberia’s chance to secure its economic destiny and position itself as a strategic partner to Trump’s administration in sub-Saharan Africa. This summit provides a defining moment for Boakai’s presidency to make a strong case for Liberia that brings positive outcomes for the country. By leveraging Liberia’s mineral riches, President Boakai can champion and secure tariff removal concessions from Trump’s administration, thereby securing equitable trade and investment deals that empower the Liberian people and its economy. This summit should be envisaged within the context of building a prosperous, self-reliant Liberia as a respected and strategic United States partner. President Boakai must act boldly, ensuring that Liberia’s voice shapes a contour of shared prosperity.
