“A Death Blow to Our Economy”: Lesotho’s Garment Industry Crumbles Under US Tariffs

In the capital Maseru, rows of silent sewing machines tell the story of an economic catastrophe. Lesotho—a nation of 2 million where textiles employ 1 in 20 people—has been hit with a 50% U.S. tariff, the highest rate in Trump’s global trade offensive. Trade Minister Mokhethi Shelile warns the sector could vanish entirely, wiping out 10% of GDP .

How It Happened

• AGOA’s unraveling: The tariff nullifies decades of duty-free access under AGOA, which enabled Lesotho to supply Levi’s and Wrangler jeans to the U.S.
• Domino effect: U.S. importers canceled orders en masse, fearing 50% cost hikes. Factories like Denim Expert Ltd. (serving H&M) may shift to European buyers at lower margins .
• Regional panic: Madagascar’s 47% tariff and Ethiopia’s 23% rate threaten similar collapses across Africa’s apparel hubs .

Voices from the Ground

• Teboho Kobeli, factory owner: “We must forget the U.S. market and flee to other countries” .
• Nteboheleng Hlapane, laid-off worker: “My son’s asthma inhaler is now unaffordable. Trump, think about our suffering” .

Global Repercussions
The tariffs expose Africa’s vulnerability to unilateral U.S. policies. While oil exporters like Nigeria escape unharmed, labor-intensive industries face extinction. South Africa’s auto sector and Kenya’s textile farms (10% tariff) are also reeling .

Path Forward?
Lesotho’s delegation races to Washington for last-ditch negotiations, but with Trump dismissing the nation as “one nobody’s heard of,” hopes are dim . The crisis underscores the need for Africa to accelerate continental trade alliances—before more economies buckle.