US Chamber of Commerce: Brings attention to Donald Trump on the deal with Uhuru Kenyatta, including import tariffs on Aluminium

The US Chamber of Commerce experts has warned US President Donald Trump at the odds of using his preceding outlook on the trade deals in the ongoing negotiations between Kenya and the US.

According to a report on April 26, The US Chamber of Commerce stated that the United States should work to achieve a single, comprehensive agreement with Kenya that removes barriers to trade and investment, instead of pursuing a phased approach as it mostly does.

The Chamber stated in comments submitted to the US Trade Representative: "To be effective, negotiators should work out a comprehensive deal that addresses all issues under negotiation rather than seeking agreement on a subset of issues or pursuing a phased approach.”

The US government in recent times concluded partial or phased trade agreements with Japan and China, frustrating some American companies that had been pressing for broader agreements on several key issues, such as intellectual property (IP) rights and improved access for their products.

The Chamber stated that for the trade deal between Kenya and the US to be beneficial, the talks should focus on achieving a high-standard bilateral agreement that sets a precedent for future US trade deals with other sub-Saharan African nations.

The Chamber further noted that a high-standard agreement that eliminated all tariffs would boost the long-term economic outlook for both countries, and further position Kenya as a model for economic reform across Africa.

The US Chamber of Commerce report also states in the report: "The agreement should eliminate all tariffs and address non-tariff barriers for industrial and farm goods, including US tariffs on imports of aluminium from Kenya while expanding market access for remanufactured goods exports.”

"Besides, the deal should eliminate forced technology transfers, include an investor-state dispute settlement mechanism, and formalize a joint commitment to follow good regulatory practices."

The Chamber also called for commitments to ensure US' access to Kenya's services market, and address IP rights and enforcement as they relate to patents, copyrights, trademarks, and trade secrets.

The trade deal being negotiated between Kenyatta and Trump was introduced on 6^th February’20, during the National Prayer Breakfast in the US and would be the first of its kind between the US and any Sub-Saharan Africa country.

The president and the former Prime Minister Raila Odinga attended the American National Prayer Breakfast and the other nations were impressed by how Kenya is handling its political affairs and other internal issues.

The political stability and the good example that Kenya has shown the rest of the world, the US is now very comfortable dealing with the country. The openness and transparency have really helped Uhuru's government in being believed and trusted by other nations and them doing deals with Kenya.

The two-way goods trade between the United States and Kenya totaled Ksh110 billion in 2019, a rise of 4.9% from 2018.