Getting beyond tariff wars and building tomorrow’s trade foundations

THE global economy thrives on predictability. When that certainty evaporates, businesses have to adapt or perish.

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South Africa is aiming to do two things: restore some level of predictability by engaging with the US, but simultaneously securing international partnerships and building the infrastructure foundation that enables South Africa to be competitive in global trade.

President Cyril Ramaphosa made this case powerfully last week at the United Nations General Assembly. Speaking at a South Africa-USA trade and investment dialogue, he outlined clear goals for our US relationship: sustain and expand trade flows, keep our companies competitive and ensure workers and consumers in both countries benefit from our partnership.

The practical steps he announced matter. A South Africa-US Trade and Investment Forum will be held alongside next year’s annual investment conference. The US Chamber of Commerce will take over B20 chairmanship from South Africa, providing another way for the two countries to work together on improving trade relationships. These moves can generate real mutual benefit.

But Ramaphosa also confronted an uncomfortable truth. Unprecedented trade policy uncertainty is hammering the global economy, with sharply negative consequences for development. The US remains our second-largest trading partner after China. Yet current tariff policies are forcing countries like ours to diversify risk by seeking new markets.