Market News

Daily Trust reports that earlier in April 2025, Trump had slammed sweeping tariffs on global trading partners, imposing 14 percent on Nigeria.

The “reciprocal” tariffs were later postponed for 90 days to allow for time to negotiate individual trade deals, with the deadline moved to August 1.

Despite the extension, negotiations failed to produce new agreements, triggering the rollout of increased tariffs under Trump’s revised global trade operations.

Consequently on August 1, Nigeria and some other African countries were hit with a 15 percent import tariff following a sweeping executive order from Trump.

The White House announced the modified tariff increase last week.

According to the National Bureau of Statistics (NBS), the US exported goods worth $4.3 billion to Nigeria last year, while Nigeria’s main exports to the US — crude oil, fertiliser, and other commodities were valued at over $5 billion.

 $3.2bn exported in H1 2025

Addressing a press conference in Abuja over the weekend, the executive director of the Nigeria Export Promotion Council, Nonye Ayeni stated that non-oil products exported in the first half of 2025 were valued at $3.225 billion.

According to her, the current figure shows an increase of 19.59% as against the sum of $2.696 billion recorded for the first half of the year 2024.

She added that the volume also increased to 4.04 million Metric tonnes compared to the 3.83 million Metric tonnes for the same period of 2024.

Explaining the rationale behind the surge in exports, she said, “The significant increase is due to increase in global demand for Nigerian products across the globe including the African region. This has increased the value of key Nigerian commodities/products, such as cocoa, sesame, cashew and aluminum.

“Also, the AfCFTA provided wider market access and tariff relief for Nigerian exporters just as the Council led export intervention programmes such as capacity building on quality and standards, packaging and labelling, export documentation and certifications. During the period under review, the Council also facilitated market access and market linkages programmes for our exporting companies thereby giving their products more visibility in the global market.

“In the same vein, the growth in value-added exports improved earnings, as more exporters are now imbibing the culture of value addition to their products, just as there is currently rising demand from emerging economies, such as India, Brazil, and Vietnam and Africa increased Nigeria’s non-oil export volumes and diversity,” the NEPC ED stated.

Speaking further, she highlighted that in the first half of the year 2025, a total of two hundred and thirty-six (236) different products were exported in the period under review. This figure represents an increase of 16.83% when compared to the 202 distinct products exported in the first half of 2024.

The products exported range from agricultural commodities, extractive industries, and manufactured and semi-processed products. However, it is pertinent to state here that the non-oil export of Nigerian products is gradually diversifying from traditional agriculture exports to semi-processed/manufactured products.

 Cocoa beans top exported products

Speaking further, she stated that “Based on data received from Pre-shipment Inspection Agents (PIAs), of the top-20 products exported in the first half of 2025, Cocoa Bean was the most exported commodity with 34.88% value in terms of total export compared to 23.18% for same period in 2024.

“Urea/Fertilizer came second with 17.65% as against 13.78% for the first half of 2024 while Cashew Nuts, with 12.35% of the total exported products as against 8.62% for the same period in 2024 was third on the log respectively. In the first half of 2025 as Sesame seed came 4th accounting for 4.23%.

“Cocoa and its derivatives topped Nigeria’s non-oil exports in the first half of 2025, accounting for 41.11% of total export value due largely to rising global demand, higher prices, and increased local processing capacity.

“Thus, the export of value-added products such as cocoa butter, liquor, and cake reflects Nigeria’s progress in exporting value-added products.”

Similarly, the NEPC stated that out of the top leading export companies, Indorama Eleme Fertilizer and Chemical Limited and Starlink Global & Ideal Limited maintained their position as the first and second, with 11.92% and 8.82%, respectively while Dangote Fertilizer Limited was third on the log with 6.39%. This is attributed to their notable export values of fertilizer and Cocoa products.

Also, Nigeria exported products worth 662, 993 metric tonnes to eleven ECOWAS countries showing an increase in exported products as against the same period in 2024. In the same vein Nigeria exported 488,499.44 Metric tonnes of products worth $83.538 million to 21 African countries outside ECOWAS reflecting an increase of 2.59% of the total export value as compared to 1.96% for the same period of 2024.

 Nigeria exploring alternative markets, amidst US tariffs – Minister

Meanwhile, Jumoke Oduwole, the minister of industry, trade, and investment,

Jumoke Oduwole, the minister of industry, trade, and investment, says Nigeria is enlarging its trade options beyond the United States (US), following the reintroduction of 15 percent tariffs by President Trump.

In an interview on CNN’s Quest Means Business show, Oduwole said Nigeria maintains its economic reforms drive and will not be drawn into reactive trade disputes.

“Nigeria remains responsive, not reacting. We’re focused on our reforms on President Bola Tinubu’s 8-point agenda,” she said.

Asked about the anticipated strain on Nigeria’s economy, Oduwole acknowledged the challenges but noted that Nigeria’s strategy includes expanding access to other markets.

“It’s mostly an energy trading relationship. We’re also waiting to see what happens with the African Growth and Opportunity (AGOA) Act in September,” she said.

“Non-oil exports such as fertiliser, lead, some cocoa, and other commodities are performing well.

“Exports to the rest of Africa under the AfCFTA are up 24% year-on-year in Q1. The world is a big place. We are not just focusing on the US.” she added.

Speaking further, Oduwole explained that Nigeria is strengthening trade ties with Brazil, China, Japan, and the United Arab Emirates (UAE), while also doubling down on support for domestic businesses.

“We have demand for urea fertiliser in Brazil. We’re looking at partnerships across Asia and the Gulf because the President is focused on supporting Nigerian businesses with market access and access to capital.”

She reaffirmed Nigeria’s commitment to the US as a “strategic trading partner,” but stressed that the nation is accelerating efforts to diversify its trade footprint.

“We launched a commercial investment programme with the US in June, focused on infrastructure, agriculture, and digital trade,” Oduwole said, adding that “the world is a big place. We have old friends, and we’re making new ones.”

Oduwole cited key reforms to include the foreign exchange (FX) liberalisation, fuel subsidy removal, and an overhaul of Nigeria’s tax infrastructure expected in early 2026.

What it means for Nigeria’s exports – Expert

Reacting to the announcement, the Vice President of the World Trade Center Abuja Ahmed Karim said the new tariffs by the US offer an opportunity for Nigeria to explore other countries.

“Looking at the bigger picture, the recent announcement by China, one of the biggest economies in the world, on zero export tariff on Nigerian goods and other countries offers an opportunity for a higher volume of different commodities including our crude oil, agricultural products and also solid minerals.

“Amidst the takeoff of the new tariff by US, the recent announcement by China will also boost industrial growth and attract Foreign Direct Investments as investors will now be encouraged to come into Nigeria and manufacture goods since it will be cheap to ship them to China on a free import,” he said

Speaking further, Karim further noted that the move by China will further create more employment for Nigeria’s teeming population and will also be a wake-up call for Nigeria to explore other countries in Europe and Asia.

Nigeria must remain focused despite US tariff – Arewa group

Meanwhile, the Arewa Think Tank (ATT) while reacting to the development stated that Nigeria must remain focused and diversify amidst the 15 per cent imposed by the United States.

A statement by Muhammad Yakubu noted that since the beginning of the trade war between Nigeria and the USA, Nigeria has started witnessing economic growth with export of lead and fertiliser to the US and Nigeria has exported goods with $5.7 billion while US exported goods worth $4.3 billion.

Speaking further,  he noted that the “ATT commends the Minister of Trade and Investment for her faith and assurance in the growth of the economy despite the 15 per cent tariff on imports by the US and we want to encourage Nigeria to be responsive and focused towards the renewed hope agenda of President Tinubu.

“We are excited recently to hear from the Minister of Industry, Trade and Investment that President Bola Ahmed Tinubu has stabilised the economy through subsidy removal policy and other economic reforms that have earned Nigeria the strongest economic growth in a decade in 2024, excluding COVID recovery.”