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South Africa braces for impact as 30% US tariffs take effect
The Star
|August 08, 2025
Export diversification strategy leaning towards China's R20 billion market
THE government has reiterated its dedication to navigating trade waters with the United States through constructive engagement and negotiation as the hefty tariffs on exports come into effect from Friday.
This comes as the US President Donald Trump imposed a 30% tariff on South African imports, which are anticipated to have a profound impact on critical sectors of the South African economy, particularly the automotive and agriculture industries.
President Cyril Ramaphosa and Trump held a telephone discussion on bilateral trade matters with Trump on Wednesday morning, undertaking to continue with further engagements recognizing the various trade negotiations the US was currently involved in.
Minister in The Presidency, Khumbudzo Ntshavheni, said on Thursday that the Cabinet received an update regarding the Framework Deal established with the US, which aims to create a foundation for ongoing discussions. A notable aspect of this agreement is a provision that stipulates tariffs will be reconsidered once the two nations reach a comprehensive deal.
“Government’s efforts remain focused on growing the economy to save and create new jobs, which include intensifying diversification efforts and strengthen their global supply chain integration as the country works to expand its export markets to Asia, Europe, the Middle East, and across Africa to enhance our economic resilience,’ Ntshavheni said.
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