Naamsa warns of job losses as US imposes steep tariffs on SA automotive exports

The Automotive Business Council (Naamsa) has warned that the United States' move to hike tariffs by up to 30% for South Africa's vehicle exports could have serious implications for jobs and investment in the local industry.

- BANELE GININIZA

US President Donald Trump on Wednesday announced that his administration will introduce additional tariffs on all imported products under what has been termed 'Liberation Day' trade measures.

The SA is the third-largest destination for South African automotive exports, with vehicles shipped to the US in 2024, accounting for 6.5% of total vehicle exports in 2024.

Vehicles produced outside the US will face automotive tariffs immediately, and other automotive products are now also impacted.

Naamsa on Thursday said these tariff decisions, seen as part of a broader shift toward South Africa's automotive exports, risk automotive exports, undermine our longstanding trade relationship with the US.

Naamsa said that while it hoped the South African government will activate all available diplomatic channels with the Trump administration, these recent announcements come at a time when the sector is already grappling with multiple headwinds.