Trump Tariffs Spark Economic Crisis in Lesotho, Thousands Laid Off

Lesotho is facing an economic crisis after U.S. President Donald Trump imposed a 50% tariff on the country’s exports to the United States, devastating its textile industry and prompting the government to declare a national disaster. The tariffs—part of a broad protectionist push announced in April—have led to mass layoffs and shuttered production lines in a nation where clothing exports to the U.S. account for nearly 10% of GDP and 90% of manufacturing exports.

For workers like Limpho Lefalatsa, who lost her job after 12 years in a garment factory, the news came as a shock. “It made no sense,” she said. “I felt so helpless.” Her $168 monthly wage had sustained her daughter’s schooling and supported her grandmother’s medical needs.

With major U.S. retailers canceling orders in response to the tariff announcement, factories were forced to dismiss thousands of workers. Afri-Expo factory owner Teboho Kobeli said he let go of 200 employees and may shift entirely to other markets if the tariffs remain in place.

Preferential Program Undone

The tariffs come despite Lesotho’s long-standing participation in the Africa Growth and Opportunity Act (AGOA), a U.S. initiative granting duty-free access to qualifying African nations. Lesotho had become a model participant, exporting Levi’s and Wrangler jeans to the U.S. and employing around 40,000 people in the sector—mostly women.

Lesotho officials were blindsided by the decision, especially since Trump previously dismissed the country as “a nation nobody has ever heard of.” The administration justified the move by citing alleged 99% tariffs on U.S. goods entering Lesotho—claims that officials in Maseru say they cannot substantiate.

Although Trump temporarily suspended the tariffs for 90 days to allow for negotiation, damage had already been done. Fear and uncertainty pushed importers to halt contracts, destabilizing a sector already vulnerable to global market fluctuations.

As the suspension nears expiration, neither the White House nor the State Department has provided formal updates, leaving Lesotho’s factories and workers in limbo.

Garment worker Nteboheleng Hlapane, now unemployed, expressed her despair directly to Trump: “Think about other people. They are suffering because of your selfishness, your cruelty.”