Nigeria shifts export focus towards Africa and BRICS amid US tariffs and regional trade growth

Nigeria’s export landscape is transforming as the country pivots towards African markets and BRICS nations, driven by US tariff barriers and regional economic momentum, prompting strategic shifts in trade policies and partnerships.

Nigeria’s export map is shifting markedly towards Africa and other emerging markets, official data and trade stakeholders say, as exporters pivot away from traditional Western destinations amid rising tariff barriers and fresh regional tr...

According to the National Bureau of Statistics, Nigeria’s exports to African countries rose to N4.9 trillion in the third quarter of 2025, a 97.16 percent year‑on‑year increase from N2.49 trillion in Q3 2024. The data showed especially rapid growth in shipments to China and Brazil even as exports to India and the United States contracted sharply. Exports to China surged by 230.49 percent to N2.26 trillion from N683.74 billion a year earlier, while exports to Brazil rose to N446.76 billion from N373.61 billion. By contrast, exports to India fell by 52.83 percent to N560.76 billion and exports to the United States dropped by 55.97 percent to N743.63 billion. The United States Census Bureau data further showed US imports of Nigerian goods for January–September 2025 declined from $4.68 billion to $4.12 billion, a fall of $552.7 million.

Industry groups interpret the figures as a deliberate reorientation. “For some manufacturers, this diversification is no longer optional; it has become a necessity. BRICS markets offer fewer trade barriers and, in some cases, bilateral agreements that ease market entry,” Segun Ajayi‑Kadir, Director‑General of the Manufacturers Association of Nigeria, told The PUNCH. He added that exporters now face “longer shipping times, increased compliance costs, and currency volatility” in US‑bound trade. Ajayi‑Kadir said the shift followed the imposition of a 14 percent tariff on most Nigerian exports by the United States, which he described as a central factor redirecting trade flows. “No nation or business willingly absorbs higher tariffs. Policy shifts like these naturally redirect trade flows,” he said.

Chinyere Almona, Director‑General of the Lagos Chamber of Commerce and Industry, also linked the US decline to what she called “Trump Tariffs,” saying the measures “disrupted trade, making Nigerian exports, including oil and agricultural goods, less competitive.” Speaking to The PUNCH, she urged the Federal Government to reactivate the Nigeria–US Bi‑National Commission to address trade barriers and encouraged exporters to diversify into digital services, creative industries and green technologies. Almona warned that protectionist measures “erode trust and stability in trade relations.”

The trend towards Africa has independent corroboration. AfCFTA‑driven trade gains have underpinned regional growth: data reported by Afreximbank and national press show Nigeria’s intra‑African trade expanded strongly in recent periods , one report citing a rise to $18.4 billion in 2024, up from $8.1 billion in 2023, and another noting a 14 percent year‑on‑year increase in exports to Africa in the first half of 2025 to N4.82 trillion, with ECOWAS countries accounting for over 62 percent of that total. These figures are consistent with broadening market access under the African Continental Free Trade Area and point to West Africa as a dominant regional destination.

Nigeria’s growing engagement with BRICS is also reshaping flows. Nigeria was admitted as a BRICS partner country in January 2025, a status that market players say has eased diplomatic and commercial links with a bloc that increasingly positions itself as an alternative axis of South‑South cooperation. Industry data cited by local business groups show trade with BRICS countries outpacing shipments to the United States in early 2025, a pattern MAN sees likely to accelerate if tariff pressures persist.

Policy makers and business leaders are framing the shift as strategic diversification rather than abandonment of longstanding markets. The Lagos Chamber’s director general argued that a simultaneous response is needed: deepen intra‑African trade under AfCFTA, press for bilateral engagement with the United States to address tariff measures, and accelerate investment in higher‑value services and green technologies to reduce reliance on commodity cycles. “A strategic response to the tariff wars and low crude oil price is to ramp up crude oil production to cover the likely gap in budget revenue projections by the end of the year,” she told The PUNCH.

Analysts caution that while reorientation to Africa and BRICS offers opportunity, it also brings challenges. Longer shipping times, differing regulatory regimes, currency volatility and the need to meet new technical and sanitary standards may raise costs even as market access improves. Moreover, a rapid shift in destination markets could leave exporters exposed to concentrated demand risk if commodity prices or partner economies weaken.

Industry leaders say the immediate imperative is twofold: consolidate gains in regional and BRICS markets through improved logistics, export finance and product standards, and engage diplomatically to reduce frictions with traditional partners. “For some manufacturers, this diversification is no longer optional; it has become a necessity,” Ajayi‑Kadir told The PUNCH, encapsulating the sentiment in Nigeria’s trade community as it adapts to a faster‑changing global trading landscape.

Source: Noah Wire Services