Lesotho excluded from new US tariff measures

Government has welcomed the country’s exclusion from the United States’ new Section 301 tariff measures linked to forced-labour concerns, saying the development protects duty-free access for Lesotho’s exports and safeguards thousands of jobs in the textile and apparel industry.

In a statement, the Ministry of Trade, Industry and Business Development said Lesotho’s exports will continue entering the United States market duty-free under the African Growth and Opportunity Act (AGOA), with the exclusion taking effect on July 24, 2026.

The government said the decision helps protect approximately 34,000 jobs in the textile and apparel sector while strengthening the country’s position as a reliable and low-risk sourcing destination and a preferred trade hub in the SADC region.

It added that the development would boost investor confidence and support increased investment across the textile value chain, contributing to industrial growth, economic diversification and sustainable employment for Basotho.

The Lesotho National Development Corporation said progress was being made towards establishing an integrated textile value chain that would source cotton from the United States, process it in Lesotho and export finished denim products, including jeans, back to the US market.

The initiative is expected to create additional value, generate employment and improve the bilateral trade balance between the two countries.