The implementation of Trump tariffs has affected industries on an international scale, including the African gaming industry, which stands on the precipice of significant growth.
In April 2025, the Trump administration introduced a round of tariffs, most notably a substantial 34% tax on Chinese imports, plunging the global economy into uncertainty. While major markets grapple with these new truths, Africa’s gaming industry stands at a crossroads.
Global market volatility and its ripple effects
These tariffs set off a chain reaction in global markets, leading to a decline in stock prices for gambling firms.
This was backed by Akingba Olabimpe’s statement, an industry expert who spoke with SiGMA News, “Key operators in Macau witnessed considerable dips: SJM Holdings fell by 18%, Melco International fell by 16%, and Galaxy Entertainment went down by 12.44%.” Given that these companies are witnessing declining revenues as a result of decreased consumer spending and tourism fall-off, the effect has been extensive.”
Concurrently with these concerns, US-based organisations operating in Macau, including Sands China and Wynn Macau, also faced considerable setbacks. Similarly, listed United Kingdom-based organisations, such as Entain and Flutter Entertainment, indicated the same concerns, demonstrating distress that is associated with decreases in global tourism flows and lowered consumer spending. As Olabimpe identified, “Analysts blame these falls on fears of lower consumer spending and shrinking global tourism flows.”
This situation of uncertainty was commented on by World Trade Organisation Director-General Dr. Ngozi Okonjo-Iweala, who stated that “the recent announcements will have significant implications for world trade and economic growth prospects.”
“I believe that the international trends offer unique opportunities for growth, particularly in attracting more foreign investment,” Olabimpe stated. As existing gaming operators are confronted with new economic realities, investors are increasingly attracted to emerging markets with the possibility of achieving massive expansion.
Capitalising on unique opportunities in Africa
Africa’s markets have significant potential for expansion, particularly due to the continent’s growing middle class and increased internet penetration. Olabimpe stresses that “the continent is an increasingly appealing destination for investors, especially when traditional markets are facing challenges. The present conditions require stakeholders to rethink their approaches, and African operators can use this opportunity to drive innovation.”
Despite the volatility that land-based casinos have been facing globally, this highlights the strength and potential of online operations. As the gaming landscape evolves, African operators can take advantage by accelerating the development of digital products that are appropriate for a technologically advanced population. Most of Africa has a population with high disposable income, making it a productive ground for online gaming innovation.
The distinct cultural characteristics of African markets afford an opportunity for local operators to create compelling content that is relevant to local communities. This will increase user engagement, thereby expanding loyalty among players. Olabimpe recognises that “as global operators rethink their strategies, African companies have a golden chance to create content that is suited to local cultures and tastes.”
Although the more immediate effect of Trump’s tariffs may have distracted from growth opportunities in Africa, the potential for the tariffs to be reapplied is an ongoing risk, especially as far as Chinese imports are concerned.
The bottom line
In Olabimpe’s opinion, “Although the Trump-era tariffs may have been paused everywhere else in the world, except China, their potential reinstatement poses fresh challenges to the global gambling industry.” However, as the world evolves, Africa’s proactive emphasis on innovation and responsible gaming controls may see it emerge as a contender in the international gaming industry. As traditional gaming markets are fighting the initial impact of tariffs and reduced consumer confidence, African operators are strongly positioned to benefit from both domestic and international investment.
Recognising and responding to these international economic trends could indicate a new start for Africa’s gaming sector, ushering in long-term prosperity and growth. The Trump-era tariffs are creating a tidal wave of economic instability across the international gambling market, triggering stock valuation declines in consumer expenditures and tourism.
For Africa, this may present an opportunity for success. With investors turning their attention to growing markets and operators adjusting to shifting terrain, the gaming industry in Africa has the potential to not only weather these challenges but also flourish. By concentrating on digital innovation and shaping content for local markets, Africa is ideally positioned to become an emerging force in the global gambling sector.
