US-Nigeria Trade Dynamics: A Shifting Landscape Amidst Crude Oil Dominance
The United States reinforced its reliance on Nigerian crude oil, importing $1.34 billion worth of it between January and May 2025. This solidifies Nigeria’s position as the leading African crude supplier to the U.S., despite observable shifts in broader trade flows between the two nations.
Data from the U.S. Census Bureau and Bureau of Economic Analysis indicates the U.S. acquired 17.39 million barrels of Nigerian crude during this five-month period. While oil exports continue to underpin the bilateral trade relationship, a 12.7% year-on-year drop in volume and an 11.8% decline in value were noted compared to the same period in 2024 (20.4 million barrels valued at $1.52 billion). This decline reflects evolving dynamics within the U.S. oil market, including heightened domestic output and altered sourcing preferences.
Nigeria’s Enduring Role in African Crude Supply
Despite the overall dip in volume, Nigerian crude maintained a substantial share, accounting for over 62% of U.S. crude imports from Africa. This significantly surpasses other African suppliers; the combined exports from Libya, Angola, and Ghana to the U.S. totaled only $811 million in the same period. In May 2025 alone, Nigeria supplied 4.2 million barrels of crude to the U.S., valued at $311 million. This consistent flow reaffirms Nigeria’s critical role in transatlantic energy trade.
Broader Trade Balance Shifts and Policy Impacts
While crude shipments remained robust, Nigeria’s overall export performance to the U.S. has shown signs of weakening due to new U.S. trade policies. Total U.S. imports from Nigeria decreased to $2.12 billion in the first five months of 2025, a nearly 20% reduction from $2.65 billion in the corresponding period of 2024.
This contraction follows an executive order in April imposing a 10% import tariff on most countries, with Nigeria facing an even higher 14% tariff due to its previous trade surplus with the U.S. Although crude oil was exempt as a strategic commodity, Nigeria’s non-oil exports, particularly in agriculture and manufacturing, have been significantly impacted by reduced demand from American buyers.
Conversely, American exports to Nigeria have experienced a notable surge, increasing by 17.8% year-on-year. Between January and May 2025, U.S. goods exported to Nigeria totaled $2.42 billion, up from $2.05 billion in 2024. This shift has fundamentally reversed the trade balance between the two nations; Nigeria’s $596 million surplus in early 2024 transitioned into a $295 million U.S. surplus by May 2025. A significant driver of this turnaround is the U.S. automobile sector, with motor vehicle and parts exports to Nigeria reaching $426 million in the first five months of 2025.
Nigeria’s Position in Continental Trade
Nigeria’s broader trade relationship with the U.S. appears to be losing momentum within the African context. The country now accounts for just 10.8% of U.S. imports from Africa and 14.8% of U.S. exports to the continent, both figures representing slight declines.
Egypt has notably surpassed Nigeria as America’s leading African export destination, with U.S. exports to Egypt jumping by 76% to $3.43 billion. On the import side, South Africa remains dominant, with U.S. imports totaling $8.67 billion from South Africa, more than quadruple the volume from Nigeria.
With a total trade volume of $4.54 billion with the U.S., Nigeria currently lags behind both Egypt and South Africa, prompting questions about its long-term competitiveness in U.S.–Africa trade relations. This trend underscores the potential implications of Nigeria’s dependence on crude oil and challenges in diversifying its export base amidst evolving global supply chains and protectionist trade policies.
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