Summary
Lesotho's garment industry is facing a crisis because of new U.S. tariffs. Factories are closing, and many workers are losing their jobs, leading the government to declare a state of disaster to seek help.
Key Facts
- Lesotho has about 35,000 garment workers, and many are now facing job uncertainty.
- The U.S. announced high tariffs on goods from Lesotho in April, impacting the economy.
- Factories in Lesotho have begun closing, with many people losing their jobs.
- Lesotho exported $237 million worth of goods, mostly clothing, to the U.S. last year.
- Lesotho's government declared a two-year national state of disaster to manage the economic impact.
- The African Growth and Opportunity Act (AGOA) previously allowed tariff-free access to the U.S. market.
- Lesotho benefited from AGOA, attracting factories to produce apparel for big American brands.
