This bill extends the African Growth and Opportunity Act (AGOA) trade preference program through December 31, 2028, and retroactively applies duty-free treatment for eligible goods entered after the original expiration date.
Jason Smith
Representative
MO-8
This bill, the **AGOA Extension Act**, primarily extends the African Growth and Opportunity Act (AGOA) trade preference program from September 30, 2025, to December 31, 2028. It also provides for retroactive duty-free treatment for eligible goods entered after the original expiration date. Finally, the legislation extends the authorization for certain customs user fees to the end of 2031.
| Party | Total Votes | Yes | No | Did Not Vote |
|---|---|---|---|---|
Republican | 218 | 149 | 43 | 26 |
Democrat | 213 | 191 | 11 | 11 |
The “AGOA Extension Act” is all about keeping the trade lines open between the U.S. and qualifying sub-Saharan African countries. Essentially, this bill takes the African Growth and Opportunity Act (AGOA)—a program that allows many goods from these nations to enter the U.S. duty-free—and pushes its expiration date back from September 30, 2025, to December 31, 2028. This extension applies not just to the general program, but also to specific, important provisions covering apparel and textiles, which are often key exports for these countries (SEC. 2).
For anyone in the import business, or for those who rely on goods manufactured in AGOA countries—think clothing brands, specialty food importers, or even manufacturers sourcing specific raw materials—this extension is a huge deal. Trade preference programs like AGOA create certainty, allowing businesses to sign long-term contracts and invest. Without this extension, companies would be scrambling to find new suppliers or facing higher import costs come late 2025. By extending the program for another three years, the bill provides stability for supply chains and helps preserve jobs both in Africa and in U.S. companies that rely on those imports.
One of the most practical parts of this bill addresses what happens if the program expires before Congress acts. The bill includes a retroactive application clause for eligible goods entered between October 1, 2025, and the date this legislation is signed into law (SEC. 2). If you’re an importer and you had to pay duties during that gap period because AGOA had technically lapsed, you can get that money back. You’ll need to file a request with U.S. Customs and Border Protection within 180 days of the bill becoming law. Customs is then required to process the refund within 90 days of the claim. The catch? You won’t earn any interest on that refund, so while you get the principal back, the time value of that money is lost.
While the main focus is on trade, the bill also includes a small but important housekeeping item: extending the authorization for certain customs user fees (SEC. 3). These are the fees collected by U.S. Customs and Border Protection to fund their operations, including the general customs user fees and the Merchandise Processing Fee (MPF) rate. The bill extends the authorization for these fees from September 30, 2031, to December 31, 2031. For consumers and businesses, this means the small fees tacked onto imported goods—which fund the agency that processes those goods—will continue unchanged for a few extra months at the end of the next decade. These fees are ultimately costs passed down the supply chain, affecting the final price of almost everything imported.