Foreign Affairs Principal Secretary Korir Sing’Oei has denied reports suggesting a trade dispute between Kenya and China. The reports claimed the two countries were at a stand-off over a new trade deal.
In a release on Tuesday, Sing’Oei explained that the agreement had been concluded on the 19th of December 2025 by Kenya and China on the Early Harvest Arrangement within the broader Agreement on Economic Partnership for Shared Development. He explained that the agreement was a ‘stop gap agreement’ aimed at opening the way to the preference treatment during the negotiations on the full economic partnership agreement.
This allows both countries to reach an agreement regarding the tariff schedule and the rules of origin of those products that can be granted favorable treatment, he explained.
“There is no conflict whatever in our market access arrangement and the work we are putting into getting re-authorisation of AGOA or negotiating a bilateral trade arrangement with the USA altogether,” said Sing’Oei, downplaying suggestions of diplomatic tension.
These came after a report by The Standard that the trade agreement between Kenya and China had been postponed as a result of pressure from the US. The agreement would require approval by the Cabinet, Parliament, as well as President William Ruto, for it to come into effect.
This debate has come into prominence against the background of uncertainty regarding the AGOA, African Growth and Opportunity Act, which expired on September 30, 2025. Following its expiration, Kenyan clothing exports to America, estimated at over KSh77 billion (Approx. $600 million), have been affected by tariffs of up to 28 percent.
Experts have noted that if this status remains, it could have drastic effects on the industry. The Kenya Association of Manufacturers has indicated that over 66,000 jobs, especially in the textile and agricultural sectors, could be threatened if access to the US market is not reopened.
It is within this backdrop that the Kenyan government has been exploring the possibility of enhanced trade with China as an insurance policy. There have been reports that the Chinese government may lift the tariffs imposed on major Kenyan exports such as tea, coffee, and avocados, which will provide an alternate market for the produce as the country still waits for the outcome of the AGOA talks.
Sing’Oei asserted that the Kenyan strategy reflects an attitude that is pragmatic in the economic domain and not about rivalries in the geopolitical domain. At the same time that it is cultivating market access in China, it is working with the U.S. with regard to AGOA and the trade agreement.
However, there is news this week to encourage those awaiting the passing of AGOA when the United States House of Representatives voted to extend this trade agreement until 2028. This resolution was passed by the House on Monday, the 12th of January, with 340 votes in favor and 54 opposed.
The proposed extension will now move to the US Senate for consideration before being transmitted to President Joe Biden for signature.
If enacted into law, the extension will reinstate the duty-free access of qualified African nations and goods into the US market, which comes as good news to Kenyan exporters who have been struggling with the uncertainties involved in one of the most critical trade relations for the country.