Eswatini firms up EU export routes as 10% US tariff bites

• Eswatini is turning the new challenge into a trade opportunity by capacitating local firms to cultivate fresh export pathways to the 27-member EU bloc.
• Backed by ITC, new approach is tailored to address key constraints to competitiveness by supporting trade policy, market access, and institutional capacity.
• Eswatini’s exports to the EU hit $106.4 million in 2024 comprising mainly farm produce shipped under the SADC-EU Economic Partnership Agreement.

With increasing uncertainty across Africa due to roiling negative impact of US tariffs, economies are scouting for new export routes at the speed of need. For Eswatini, a country that US President Donald Trump slapped with 10 per cent tariffs on exports to the world’s biggest economy, the European Union (EU) appears to be an attractive alternative in an increasingly competitive market.

In a statement released by the International Trade Centre (ITC), Eswatini is turning the new challenge into a trade opportunity by cultivating fresh export pathways with the 27-member EU bloc.

The South African country enjoys untapped export potential and it is keen on boosting its global trade competitiveness, create jobs for millions of its youth, and empower local entrepreneurs with new trade collaborations with multinationals in the EU.

Under the EU–SADC Economic Partnership Agreement (EPA), Eswatini has duty-free, quota-free access to the EU market and an estimated $114 million in untapped export potential. The International Trade Centre (ITC), in partnership with the EU and the Government of Eswatini, is working to unlock that potential through the ‘Promoting Growth through Competitive Alliances’ programme.

Pressure from US tariff program

While the country faces indirect pressure from the recent 10 per cent US tariff hike – largely due to its economic integration with South Africa – its trade with the EU remains a source of resilience and growth.

“The current trade climate is a concern, but it also creates an opening for Eswatini to reposition itself as a stable and competitive export hub,” says Mawenzi Dlamini, ITC’s Project Operations Manager in Eswatini.

Eswatini’s exports to the EU hit $106.4 million in 2024, and there’s room to grow. At the moment, sugar stands as it’s most significant export to the EU market under the tariff-free and quota-free access through the SADC-EU Economic Partnership Agreement. Other export goods to the EU are beef, citrus fruits, textiles and apparels, and oils. However, players in the industry still face challenges in meeting their export quota as well as adhering to high safety standards set by Europe.

ITC’s programme is tailored to addressing key constraints to competitiveness by supporting trade policy, market access, and institutional capacity.

“We’re strengthening the regulatory environment, building national dialogue platforms, and helping define a clear investment roadmap,” explained Owen Skae, Consultant to the programme.

Sustainable agri-processing support for Eswatini producers

At the enterprise level, the programme is fostering inclusive growth by supporting smallholder producers, artisans, and entrepreneurs – especially women and youth – to meet EU standards and access new buyers. From sustainable agri-processing to emerging artisan brands like Tintsaba and Indzaba Yami, Eswatini’s producers are showcasing their talent, heritage, and quality on international stages such as Paris Design Week.

Through tailored training, digital tools such as the Export Potential Map, and connections with EU buyers, ITC is helping the country build long-term competitiveness. Over 6,000 entrepreneurs have been supported so far, with 2,200 new jobs created across high-potential value chains like textiles, crafts, food processing, and tourism.

“The market is there. We’re helping businesses seize these opportunities, move up the value chain, and tackle unemployment head-on,” says Sibusiso Mnisi, Manager of External Trade at the Eswatini Investment Promotion Authority.

In an uncertain trade environment, the south African country is turning its EPA access into a platform for sustainable growth, job creation, and global relevance.

Read also: As US tariffs sting, AfDB’s Adesina calls for bold realignment of African trade