South Africa urgently seeks US trade agreement as tariffs threaten R37 billion exports

South Africa will be seeking a new trade deal with the US.

South Africa will be seeking a new trade deal with the US.

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Published Apr 3, 2025

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The South African government is seeking to negotiate a new trade deal with the United States after its decision to impose tariffs on certain South African goods.

The US is South Africa's second-largest trading partner and the fifth-largest market for its vehicle exports, with vehicle and parts exports exceeding $2 billion (R37.05 billion).

Tensions between South Africa and the US have escalated this year, with President Trump accusing South Africa of treating white South African farmers "very badly" and confiscating their land.

Last month, the US government expelled South Africa’s Ambassador Ebrahim Rasool, labelling him a "race-baiting politician who hates America and hates Trump".

This week, Minister of Trade, Industry, and Competition, Parks Tau, announced that South Africa will urgently seek a meeting with US authorities over their planned decision to impose a tariff on automobile imports.

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In a statement issued Thursday, the Presidency expressed its concern about the newly imposed tariffs on South African exports to the US.

“The Presidency has noted with concern the newly imposed tariffs on South African exports to the United States of America,” the statement said.

“While South Africa remains committed to a mutually beneficial trade relationship with the United States, unilaterally imposed and punitive tariffs are a concern and create barriers to trade and shared prosperity.”

The Presidency further emphasised that the new tariffs underscore the urgent need for a new bilateral and mutually beneficial trade agreement with the US, a critical step toward securing long-term trade certainty.

"The tariffs affirm the urgency to negotiate a new bilateral and mutually beneficial trade agreement with the US, as an essential step to secure long-term trade certainty," it said.

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