The livelihoods of thousands in Lesotho hang in the balance following a new 50% tariff imposed by U.S. President Donald Trump on imports from the southern African nation — a move that could cripple Lesotho’s vital textile industry.
The landlocked country, known for producing denim for major American brands such as Levi’s and Wrangler, relies heavily on textile exports to the U.S., with approximately 75% of its products destined for American consumers. The industry supports around 12,000 jobs, most of them filled by women.
Trump justified the tariff by accusing Lesotho of imposing a 99% duty on American goods — a claim strongly contested by Lesotho’s government. Officials say they are unaware of the basis for the figure and did not reveal the actual rates during a press briefing.
The sudden tariff hike has sparked fear among factory workers and small business owners, who warn that higher export costs could drive U.S. buyers away.
“If that happens, some of the women and men who work in those factories will be out of work,” said Palesa Makae, a local entrepreneur who supplies materials to several garment manufacturers. “Many small businesses will shut down.”
Lesotho, classified by the World Bank as a lower-middle-income country, has long depended on textile exports as an economic anchor. Nearly half of its 2.3 million people live below the poverty line, and unemployment hovers around 25%.
Beyond clothing, Lesotho also exports diamonds and other goods, with total bilateral trade with the U.S. reaching $240.1 million in 2024, according to the Office of the U.S. Trade Representative.
In response to the growing crisis, Trade Minister Mokhethi Shelile announced plans to diversify Lesotho’s export markets. “We are not going to die. We will diversify and explore other markets,” he said, adding that the government will tap into the Africa Continental Free Trade Area to strengthen regional trade ties.
As Washington and Maseru remain at odds over trade policies, Lesotho’s workers and businesses brace for the uncertain road ahead.