US imports $643m Nigerian goods in two months – Report

The United States imported $643.1m worth of goods from Nigeria in the first two months of 2025, just a month before the implementation of new tariffs by the Trump administration, The PUNCH reports.

The tariffs, which take effect on April 9, 2025, have raised concerns about their potential impact on Nigeria’s trade.

However, oil and minerals are exempted from the new tariff regime, offering some relief to Nigeria’s major export sectors.

Data from the United States International Trade Commission revealed that Nigeria’s imports on a customs basis for February 2025 stood at $286.3m, a sharp decline from the $423.6m recorded in the same month of 2024.

This marked a reduction of 32.4 per cent. On a year-to-date basis, customs-based imports fell from $951.6m in 2024 to $643.1m in 2025, representing a decrease of 32.4 per cent.

On a Cost, Insurance, and Freight basis, Nigeria’s imports for February 2025 stood at $298.4m, compared to $436.3m in February 2024, marking a decline of 31.6 per cent.

On a year-to-date basis, CIF-based imports fell from $979.6m in 2024 to $666.3m in 2025, indicating a decrease of 32 per cent.

The customs basis for US trade refers to the value of goods at the point of entry into the United States, excluding costs related to insurance and freight, while the CIF (Cost, Insurance, and Freight) basis includes the total value of the goods along with the insurance and shipping costs required to deliver the goods to the US.

Despite the drop in imports, Nigeria’s trade balance on customs imports for February 2025 improved significantly, rising to $187.2m from $77.3m in February 2024.

This represents an increase of 142.2 per cent. On a year-to-date basis, the trade balance moved from a deficit of $158.8m in 2024 to a surplus of $44.3m in 2025, marking a recovery of 127.9 per cent.

The total trade between the US and Nigeria for the first two months of 2025 stood at approximately $1.33bn.

This includes the value of both imports and exports, reflecting the extensive trade relations between the two countries.

Nigeria’s exports on a domestic and foreign Free Alongside Ship basis amounted to $473.6m in February 2025, slightly down from $501m in February 2024, representing a decline of 5.5 per cent.

On a year-to-date basis, F.A.S.-based exports fell from $792.8m in 2024 to $687.4m in 2025, marking a decrease of 13.3 per cent.

The PUNCH further observed that the United States recorded a trade deficit against Nigeria only in January 2025, according to data from the United States Trade in Goods report.

The report showed that the US posted a deficit of $143m in January but recorded a surplus of $187m in February. This positive shift resulted in a year-to-date surplus of $44m.

The data revealed that Nigeria’s exports to the US rose significantly in February, amounting to $474m compared to $214m in January.

This marked an increase of 121.5 per cent. On a year-to-date basis, Nigeria’s exports to the US totalled $687m, showing a strong recovery after a slow start to the year.

US imports from Nigeria, however, recorded a decline. In February, imports were valued at $286m, down from $357m in January, representing a decrease of 19.9 per cent.

Year-to-date, US imports from Nigeria amounted to $643m, indicating a reduction in import volume compared to the previous month.

The shift in trade dynamics between January and February highlights a reversal of the deficit trend seen at the start of the year.

In January, the US recorded a deficit as imports from Nigeria exceeded exports. However, in February, increased exports and lower imports led to a surplus.

The PUNCH further observed that the United States imported crude oil worth $413.57m from Nigeria in the first two months of 2025, according to data from the United States Trade in Goods report.

The data shows that the total volume of crude oil imported from Nigeria during this period was 5.3 million barrels.

Crude oil accounted for approximately 64.31 per cent of the total imports from Nigeria to the US, which stood at $666.3m in the first two months of the year.

This highlights the significant role of crude oil in Nigeria’s export portfolio to the US.

In February 2025, the volume of crude oil imported from Nigeria to the US was 1.8 million barrels, valued at $142.2m.

This marked a significant drop from January 2025, when the volume was higher at 3.5 million barrels, valued at $271.4m.

The data revealed that the value of crude oil imports fell by 47.6 per cent month-on-month.

The year-to-date customs value of crude oil imports from Nigeria stood at $413.6m as of February 2025.

Month-on-month, the data shows that the customs value of imports in February was significantly lower than in January.

The C.I.F. value of crude oil imports from Nigeria to the US was $146.2m in February, compared to $278.2m in January.

The cumulative C.I.F. value for the first two months of the year stood at $424.4m. The month-on-month analysis shows a decrease of 47.4 per cent in the C.I.F. value between January and February.

While oil and mineral exports remain exempted from the new tariffs, analysts have expressed concerns about the potential impact on other sectors.

Agricultural and manufacturing goods, which previously benefitted from the African Growth and Opportunity Act, are likely to face increased competition and higher costs.

In a related development, Nigeria’s Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has said the recent 14 per cent tariff imposed by the United States on Nigerian exports will have a negligible effect on the Nigerian economy.

Edun stated this at the inaugural Corporate Governance Forum organised by the Ministry of Finance Incorporated in Abuja on Monday.

While recognising the seriousness of escalating global tariff conflicts, Edun emphasised that Nigeria remains relatively insulated from severe impacts, given the exclusion of oil and mineral exports—Nigeria’s primary exports to the US—from the tariff.

He highlighted the comparatively moderate 14 per cent tariff as favourable when placed alongside Vietnam’s 46 per cent and China’s 34 per cent tariffs.

“Nigeria’s exports to the US were N1.8tn, N2.6tn and N5.5tn in 2022-2024, respectively. Fortunately, oil and mineral exports accounted for 92 per cent, implying oil and mineral exports amounted to N5.08tn in value, while non-oil was just N0.44tn. Consequently, the tariff effect on exports is negligible if we sustain our oil and minerals export volume.”

However, Edun admitted the government’s economic management team is closely monitoring the global situation.

“We are going back to the drawing board to look at our budget all over again because we have to see what changes have been made in the assumptions that underlay the production of that budget and the reality over the first quarter and even projected into the future,” he said.

The PUNCH earlier reported that the newly imposed 14 per cent tariff by US President Donald Trump on exports by Nigerian businesses presents a significant risk to the $10bn annual exports to the United States, potentially disrupting key sectors such as agricultural trade, experts and trade associations concerned about a potential global trade war.

The economic experts, in separate interviews with The PUNCH, noted that the policy, which would raise the prices of goods and services for consumers, would weaken the standard of living, slow down manufacturing activities, hinder international trade and consequently weaken demand for Nigerian oil in the US, one of its key markets.

According to the National Bureau of Statistics, Nigeria’s trade with the United States reached a combined N31.1 tn in ten years between 2015 and 2024. An analysis of the foreign trade report showed that N16.4 tn was recorded as exports and N14.71 tn in imports, indicating a trade surplus of N1.64 tn.

A breakdown showed that Nigeria exported goods worth N344.27 bn in 2015 and received N581.99 bn as imports. In 2016, it increased to N1.03 tn in exports and N706.09 in imports. Exports surged to N1.73 tn in 2027, N1.094 tn in 2018, and N1.01 tn in 2019 before dropping to N382.19 bn in 2020 due to the pandemic. By 2021, exports increased to N800.34 bn, N1.82 tn in 2022, N2.61 tn in 2023 and N5.52 tn in 2024.

The Federal Government earlier acknowledged that several of Nigeria’s oil and non-oil exports are set to face adverse effects due to the newly imposed tariffs by US President Donald Trump.

This tariff, which is expected to disrupt trade relations, could potentially weaken the competitiveness of Nigerian products in the U.S. market, according to the Minister of Industry, Trade and Investment, Dr Jumoke Oduwole, in a statement on Sunday.