The government has dismissed reports of a strained trade relationship between Kenya and China, calling the claims completely unfounded.

In a statement on Tuesday, January 13, 2025, Foreign Affairs Principal Secretary Korir Sing’Oei said Kenyan and Chinese teams concluded negotiations on December 19, 2025, for an Early Harvest Arrangement under the broader Agreement on Economic Partnership for Shared Development. 

“The arrangement allows both sides to specify tariff schedules and the applicable rules of origin, ensuring clarity on products eligible for preferential treatment,” Sing’Oei wrote on X.

“There is no tension between this market access deal and our ongoing efforts to push for AGOA reauthorisation or a separate bilateral trade agreement with the United States.”

He described the framework as an interim measure to facilitate preferential trade while a full economic partnership agreement is negotiated.

This comes amid reports that Kenya is delaying the China trade deal due to pressure from the United States.

The report suggested that the pact required approval from the cabinet, parliament, and President William Ruto before implementation.

The report cited concerns over the African Growth and Opportunity Act (AGOA), which expired on September 30, 2025. Since the lapse, Kenya’s apparel exports to the US, valued at more than Ksh77 billion annually, have faced tariffs of up to 28 per cent, affecting manufacturers and workers.

The Kenya Association of Manufacturers cautioned that prolonged uncertainty could put more than 66,000 jobs at risk, particularly in the textile and agricultural sectors, threatening livelihoods and broader economic stability.

Kenya had viewed a potential trade arrangement with China as a protective measure, with reports suggesting Beijing was prepared to lift tariffs on tea, coffee, and avocado exports. The deal would have opened an alternative outlet for key agricultural products and eased dependence on the US market amid ongoing AGOA talks.

Sing’Oei noted that Kenya’s parallel engagement with China and the United States reflects a strategic effort to diversify market access and safeguard national economic interests, rather than indicating any diplomatic strain.

These developments follow a decision by the US House of Representatives to extend the AGOA framework through 2028. The extension was approved on Monday, January 12, with 340 lawmakers voting in favour and 54 opposing the move.

The legislation, headed to the Senate ahead of final approval, aims to renew the act providing duty-free access to the U.S. market for qualifying African countries and goods.