Dangote initiatives $30 billion income in 2026 amid international commerce uncertainty
Africa’s richest particular person, Aliko Dangote, has projected that Dangote Group is on observe to generate $30 billion in complete income subsequent yr, regardless of issues over potential international commerce disruptions attributable to U.S. President Donald Trump’s tariffs.
The billionaire disclosed throughout a enterprise capital convention in Lagos on Thursday that his huge conglomerate, which features a 650,000 barrels-a-day oil refinery in Lagos, is projected so as to add $5 billion in income in 2026, bringing complete earnings to $30 billion, up from $25 billion in 2025.
Whereas many international corporations are grappling with the consequences of Trump’s aggressive tariff insurance policies, Dangote Petroleum Refinery has remained unaffected, because the U.S. excluded oil and gasoline exports from its tariff changes.
Impression of U.S. Tariffs and Nigeria’s Commerce Panorama
Moreover, Dangote Fertilizer, which exports urea to the U.S., stands to profit from a 16% distinction in levies between Nigeria and its competitor Algeria.
“I used to be nervous in regards to the U.S. tariff as a result of 37% of our urea goes to the U.S.,” Dangote admitted.
“Fortunately for us, Algeria was slapped with 30% tariffs.”
Cement Growth: Aiming for Africa’s Prime Spot
Dangote additionally shared his bold plan to change into the main cement exporter in Africa by 2026, surpassing Egypt.
“We’re at about 53 million tons in production capability as we speak,” he said. “By subsequent yr, we will probably be at 62 million tons of cement. We will probably be primary.”
As Dangote Industries expands its attain throughout a number of sectors, its complete asset valuation has climbed to $27.5 billion, based on the Bloomberg Billionaires Index.
Nigeria’s Commerce Vulnerabilities and AGOA Issues
Regardless of Dangote’s progress projections, Nigeria faces heightened commerce dangers as potential shifts in U.S. commerce insurance policies might impression its entry to American markets.
A current report by Technique& (the technique consulting arm of PwC) highlights Nigeria’s {economic} vulnerability, notably below the African Progress and Alternative Act (AGOA), a commerce program that permits duty-free exports from eligible sub-Saharan African nations to the U.S.
The report, titled ‘International {Economic} Coverage Adjustments and Implications for Nigeria’, warns that modifications to AGOA or broader tariff insurance policies below the Trump administration might prohibit Nigeria’s export capabilities.
What you must know
If AGOA advantages aren’t renewed, Nigeria could lose key commerce privileges, severely impacting its exports of crude oil, agricultural merchandise, and manufactured items, based on the PwC report.
- Nigeria has traditionally been a serious beneficiary of AGOA, exporting $1.76 billion price of products to the USA in 2024, making it the second-largest AGOA exporter after South Africa.
- The elimination of AGOA advantages might drastically cut back Nigeria’s competitiveness within the U.S. market, resulting in a decline in export volumes and international change earnings.
As Dangote Industries pursues record-breaking income, Nigeria’s {economic} policymakers are intently monitoring international commerce shifts to protect market entry and maintain {economic} progress.
