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US TARIFFS: BOTSWANA OFFERS DONALD TRUMP’S ADMINISTRATION PRIORITY ACCESS TO CRITICAL MINERALS

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President Duma Boko’s administration has offered the US government priority access to critical minerals in the ongoing negations on export tariffs.

The US government imposed a 37% tariff on all goods imported from Botswana, which took effect on August 1, 2025.


According to Diamond World, Botswana is the world’s second-largest diamond producer after Russia and the mineral export adds up to the country’s $500 million annual exports to US.


President Boko reached out to Donald Trump’s administration to have the tariff implementation delayed, but the diplomatic efforts bore no fruits.


What’s Botswana govt move to cut US tariff


Weeks into the imposition of the tariff, the Southern Africa nation resorted to offer Trump administration leverage to certain minerals in exchange to reduced export tariffs and other benefits.


Before the introduction of the tariff, diamonds exports from Botswana enjoyed zero-rated status in the US market.


However, the introduction of the tariff saw US importers pay 37% duty, which is composed of a baseline 10% tariff introduced in April 2025 and an additional 27% under the new reciprocal measures, a move that Botswana sees as threat to its exports.


“These punitive measures threaten the sustainability of Botswana’s diamond industry and present a serious obstacle to broader economic growth across Africa,” said President Boko.


Botswana’s Strategic Bilateral Engagement on US Reciprocal Tariffs in July 2025 proposed a structured exploration partnership granting first-mover advantage to US companies across three high-value geological zones.


A source privy to the discussion intimated that Botswana Vice President Ndaba Gaolathe held a fruitful meeting with US Secretary of Commerce Lutnik Howard on July 19, 2025.


Howard assured that the of the United States Trade Representative (USTR) would share a framework detailing the specific US trade concerns for Botswana’s consideration.


“While we wait for the framework detailing the specific trade concerns of the US, we submit the four proposals (using the initial discussions in the meeting of record as a basis) for consideration,” read the Strategic Bilateral Engagement proposal in part.


Which proposals does Botswana present to US


1.           Access to mineral

The Botswana government showed its willingness to grant the US government priority access to critical minerals.


The government proposed a structured exploration partnership granting first-mover advantage to US companies across three high-value geological zones. These zones have multi-metal potential including critical minerals and rare earth elements.


“As such, we are willing to engage on the US offer for partnership in mining projects where the US would provide the requisite and provide technical expertise of U.S. companies,” read the proposal in part.


2.           Investment facilitation

Botswana proposed consideration of US investment endeavours in other sectors, including renewable energy, health, technology, and infrastructure.


“The Botswana Government will ensure the seamless facilitation of such investments through our Botswana One Stop Service Centre (BOSSC) (stationed in our investment promotion office) by assisting with the acquisition of all necessary permits, licenses, authorizations etc,” the proposal stated.


3.           Removal of non-tariff barriers and trade facilitation

Botswana proposed the removal of all non-trade facilitation barriers (NTBs) in international trade, noting that the process of removing NTBs is currently underway.


“As intimated in the above referenced, Botswana will require assistance of the U.S. in expediting conclusion of these initiatives in the form of both technical and financial support which will be enunciated further when our technocrats engage on the nitty-gritties.”


The proposal added that Botswana is willing to receive specific US requests or concerns relating to both NTBs and trade facilitation to facilitate free movement of US imports into the country.


4.           Acceptance of US standards

Boko’s administration also proposed its willingness to consider and accept specific US standards upon request.


“The USA has several standards developing bodies which Botswana has already had the opportunity to utilize,” the proposal continued in part.


Are these efforts bearing fruits?


Following the discussions and proposed offers by the Botswana government, the US reduced tariff imposed on exports from the country to 15%.


Botswana Ministry of Trade and Entrepreneurship announced the reduction in tariff from the 37% earlier imposed by the US government.


“We wishe to inform the business community and the general public that, effective August 7, 2025, the United States government has adjusted its Reciprocal Tariff Rates for its foreign trading partners, including Botswana.


“Under the revised structure, the Reciprocal Tariff Rate applicable to Botswana's exports to the United States has been reduced to 15%, down from the previous rate of 37% announced on 2nd April 2025,” said Permanent Secretary Joel Ramaphoi in a statement dated August 15, 2025.


Ramaphoi noted that the changes in tariff are part of the US government series of executive orders designed to establish a reciprocal trade framework with its global partners.


He revealed that further adjustments to the tariff may be introduced in the future as discussions continues.


“To further reduce or eliminate the 15% Reciprocal Tariff, Botswana and the US continue negotiations. These discussions aim to address the specific concerns of both parties and strengthen bilateral trade ties,” he added.


What are the implications of Botswana proposals to US?

The proposals fronted to the US government have raised serious concerns among sector players in the country.


These concerns are:


Sovereignty Violation: Mining stakeholders argued that trading mineral rights contravenes Botswana’s Mineral Rights Act and communal land protections under the Tribal Land Act. These resources belong to Batswana – not government negotiators.


Economic Threat: Mining constitutes 30% of Botswana’s GDP. Granting "first-mover advantage" to US firms, the county risks loss of local beneficiation opportunities, undermining DEBSWANA partnerships and replicating exploitative models.


Transparency Failure: They argued that the negotiations occurred without parliamentary scrutiny or public consultation, raising questions.

 
 
 

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