US to Suspend Duty-Free Trade with South Africa and Rwanda

How much did prices fall?

Brent crude, an international oil price, fell 7.6 percent to $104.77 a barrel. US crude fell 7.3 percent to $96.46 a barrel.

That was a very large fall in one day. What gave traders hope?

Iran's IRNA news agency reported comments from Iran's president. He said Iran's supreme leader had given the government some authority to seek dialogue with its enemies.

How did the market understand that message?

Traders saw it as a sign that Iran may continue talks with the US through mediators. They hoped Iran would choose talks instead of more attacks on American allies in the region.

What did President Donald Trump say about possible new strikes?

After oil markets closed, Trump was asked twice if the US planned to strike Iran again after the midterm elections. Both times, he answered no.

Did his answer affect prices too?

Yes. As his answer spread online, prices continued to fall. Trump also said that Iran wanted a settlement as soon as possible.

Why had oil markets been so worried before Monday?

Reports during the past week said Trump could restart strikes on Iran after Tuesday's midterm elections. That could lead Iran to attack energy assets around the Middle East again.

Why can fighting in that region change oil prices worldwide?

Major damage to energy infrastructure can reduce oil supplies. When supplies fall, oil prices can rise in many countries.

So, are the risks over now?

No. Francisco Blanch of Bank of America said a wider conflict with major energy damage could push prices as high as $150 a barrel. He also said continued fighting that limits oil flows could keep Brent between $95 and $120 a barrel by the end of the year.

Thank you, Grace.

Our second story is about US trade benefits for South Africa and Rwanda.

LinguaWire's correspondent for society, Owen, has been covering this story.

Hello, Daniel. The United States says it will suspend duty-free trade benefits for South Africa and Rwanda from January 1, 2027.

What does duty-free trade mean?

It means certain goods can enter the US without import taxes. The benefits come through the African Growth and Opportunity Act, also called AGOA.

Why is the US suspending the benefits?

US Trade Representative Jamieson Greer said both countries did not meet AGOA's eligibility rules. The US reviews those rules every year.

What are countries expected to do under the programme?

They are expected to make progress towards market-based economies and good governance. They must also remove barriers to US trade and investment.

What concerns did Washington raise about Rwanda?

The US said it was deeply concerned about trade barriers, the rule of law, and human rights in Rwanda. Rwanda was also suspended from the programme in 2018.

And what did it say about South Africa?

Washington raised concerns about barriers to US trade and investment, corruption, and threats to US national security and foreign policy interests.

How important has AGOA been for South Africa?

South Africa has been the programme's largest beneficiary. In 2025, it exported about $1.7 billion of goods to the US under AGOA.

What kinds of goods could be affected?

The main AGOA exports include motor vehicles and vehicle parts, farm products, and wine. South Africa also sells precious stones, metals, iron, and steel to the US.

Will this affect all South African exports to the US?

No. South Africa's trade department said AGOA exports are about 10 percent of its exports to the US. They are about 1 percent of its total exports worldwide.

What is South Africa planning to do next?

Its government said last week that it was prepared for a negative result and remained open to dialogue with the US. President Cyril Ramaphosa said South Africa was also seeking new markets and trade deals with partners including China.

Thank you, Owen.

Part one: vocabulary.

Benefit.

A benefit is something helpful or useful; in the story, “The benefits come through the African Growth and Opportunity Act, also called AGOA.”

Paid holidays are a benefit of this job.

Suspend.

To suspend means to stop something for a time; in the story, “The United States says it will suspend duty-free trade benefits for South Africa and Rwanda from January 1, 2027.”

The school will suspend classes for one day.

Barrier.

A barrier is something that makes something difficult; in the story, “They must also remove barriers to US trade and investment.”

High costs can be a barrier to travel.

Part two: the grammar.

Past perfect with had been: “Why had oil markets been so worried before Monday?”

We use had been for a situation that was true before another time in the past. Here, the oil markets were worried before Monday.

With be: I had been, you had been, he had been, we had been, they had been.

In the story, Daniel asks, “Why had oil markets been so worried before Monday?”

Had you been tired before the trip?

Repeat after me: Why had oil markets been so worried before Monday?