Ramaphosa, Trump meeting seen as pivotal for US-SA trade relations

Experts say R150 billion worth of exports hang in the balance during the trip

- YOGASHEN PILLAY

THIS week's meeting between President Cyril Ramaphosa of South Africa and US President Donald Trump is being closely monitored by the international relations stakeholders as they have emphasised its significance for trade relations and the broader South African economy.

Reflecting on the economic context, Andre Thomashausen, a Professor Emeritus for International Law at Unisa, indicated that South Africa's access to the US markets was crucial because the trade balance with the US was nearly 100% positive and in favour of the South African economy.

Thomashausen said a total of R150 billion of exports will hang in the balance on Wednesday, a price too big to pay for postures of national pride.

“Imports from the US are insignificant compared to our exports to America, exactly the opposite of what is happening in our trade with China. But we also need to know that 55% of our agriculture exports to the US are produced in the Western Cape,” he said.

“If the negotiations about reintroducing a zero import tariff for our agricultural products fail this coming Wednesday, the Western Cape will be severely hit, and a massive loss of employment can be feared”

Ramaphosa’s official visit to the US comes as diplomatic relations between Pretoria and Washington D.C. continue to deteriorate.