Home East Africa US, Kenya trade negotiation leaves Kenya in a tight spot

US, Kenya trade negotiation leaves Kenya in a tight spot

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  • The ongoing trade negotiation between Kenya and the US have left several African countries worried.
  • They are apprehensive of the repercussions of Kenya’s departure from the past collective trade arrangements with the US to a solo deal.

The ongoing trade negotiation between Kenya and the US have left several African countries worried. They are apprehensive of the repercussions of Kenya’s departure from past collective trade arrangements with the US to a solo deal.

The key issues raised include regulatory oversight over the giant US technology companies that could decimate the local start-ups, opaque rules of cross-border digital trade, lack of mechanisms for dealing with legal redress for violations of individual privacy by social media platforms. etc. Experts point out that such a trade deal that is exclusive of Kenya’s obligations to the African Union and other pre-existing allies is unjustifiable. On the contrary, it was observed that Kenya should seek to strengthen her relationships with neighbours and build a more united Africa with a capacity to negotiate trade deals from a position of collective strength. Moreover, a united Africa and a harmonised policy environment will unravel many more opportunities particularly when the continent becomes a single digital market (SDM). There is also a perception that US is dictating the terms of the deal and introducing issues like how Kenya should deal with Israel.

Meanwhile, some oil majors have been pushing hard to export plastics to developing countries like Kenya. Being a  smaller economy, Kenya is at a greater disadvantage and risky demands like the one fronted by the American Chemistry Council on relaxing plastic use regulations at a time when negotiating a trade deal will be risky for Kenya, a country that has taken bold steps of banning the use of thin plastics.

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