Lesotho Factory Closure Highlights Impact of US Tariffs on Global Trade

The recent U.S. tariffs have hammered Lesotho’s textile industry. This small African nation once thrived on clothing manufacturing, but now, factories sit empty and thousands are out of work.

Let’s take a closer look at what’s happened in Lesotho since these tariffs hit. The economic and social fallout runs deep—maybe deeper than anyone expected.

The Silent Factories of Lesotho

Right in the heart of Lesotho, the constant drone of sewing machines has disappeared. Where workers once rushed between rows of fabric, the floors are quiet and spools of thread just collect dust.

President Donald Trump’s administration slapped tariffs on nearly all U.S. trading partners, but Lesotho got hit especially hard. Some rates soared up to 50 percent, which is hard to even wrap your head around.

The Impact on Tzicc and Its Workers

Tzicc, one of Lesotho’s big clothing manufacturers, has watched its business evaporate. The factory used to employ 1,300 people, turning out sportswear for giants like JCPenney, Walmart, and Costco.

But after the tariffs were announced, American buyers just stopped placing orders. Tzicc had no choice but to send nearly everyone home.

Rahila Omar, the factory’s compliance manager, pointed out the bitter irony. They’d rushed like mad to finish old orders before the tariffs kicked in. Now, the factory is just…silent. No one really knows what’s next for the workers.

Lesotho’s Economic Struggles

The problem isn’t just one factory—it’s the whole economy. Textile manufacturing is Lesotho’s biggest private industry, with more than 30,000 workers depending on it.

The threat of tariffs has deepened the country’s unemployment crisis. The government even declared a state of disaster, which says a lot.

A History of U.S.-Lesotho Relations

Lesotho and the United States go way back. After Lesotho gained independence from the UK in 1966, the U.S. was the first to open an embassy in Maseru.

Over the years, the U.S. has sent plenty of aid—everything from military training to funds for fighting HIV/AIDS. In 2000, the African Growth and Opportunity Act (AGOA) let Lesotho export goods to the U.S. duty-free.

That deal basically turned Lesotho into Africa’s denim capital. Now, though, all that progress feels at risk.

The Human Cost

The toll on people’s lives is honestly heartbreaking. Most of the 12,000 garment workers are women, many supporting children on their own.

Without those jobs, families are scrambling. Mapontso Mathunya, who used to work at Tzicc, now tries to sell snacks and cigarettes on the street. She says some days she barely makes a few cents.

The Broader Economic Impact

The pain spreads beyond the factories. When jobs disappear, it hits real estate, transportation, and more.

Room landlords, long-distance truckers, and taxi drivers are all feeling the squeeze. All told, the economic shockwaves reach about 40,000 people indirectly.

Uncertain Future

No one’s sure what comes next for Tzicc or the other factories. Rahila Omar admits that even if they tried selling to South Africa, it wouldn’t bring in enough to pay everyone.

And even if American buyers did come back, would the factories really be able to rehire all those workers? It seems doubtful.

Former employees line up at other factories, but most are turned away. Jobs are just that scarce right now.

Trade minister Mokhethi Shelile has voiced his frustration, saying the trade deficit with the U.S. is just what happens when two countries are so different economically. But will that change anything? Hard to say.

Looking Ahead

The pause on tariffs is about to end, and honestly, nobody’s sure what comes next for Lesotho’s textile industry. Government officials and factory owners are waiting—nervously, if we’re being real—to see how trade talks shake out and what the final tariff rates will be.

Everyone’s hoping for a deal that lets the industry bounce back. Lesotho needs those jobs, plain and simple.

This whole situation really shows how much trade policies can mess with people’s lives, sometimes in ways nobody intended. The original tariffs aimed to fix trade imbalances, but for Lesotho—a small country that leans hard on textile exports to the U.S.—they hit like a hammer.

If negotiations keep moving and folks get the support they need, maybe Lesotho can rebuild its textile sector. That’s what everyone’s rooting for, at least.

Want the full story? Check out the article at the News Tribune.