South Africa remains bullish about its trade and diplomatic relations with the US despite the 30% tariffs imposed on exports by President Donald Trump's administration as part of Washington's global reciprocal “Liberation Day” tariffs.
“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,” President Cyril Ramaphosa’s office said on Thursday.
Ramaphosa plans to send envoys to the US to present bilateral trade deals to the Trump administration to accommodate its transactional approach to global trade. The plans were put on hold in March shortly after the expulsion of former US ambassador to the US Ebrahim Rasool.
The department of international relations and co-operation last week sent a separate delegation to the US led by director-general Zane Dangor, where discussions with senior White House officials involved bilateral priorities.
“While SA remains committed to a mutually beneficial trade relationship with the US, unilaterally imposed and punitive tariffs are a concern and serve as a barrier to trade and shared prosperity,” said Ramaphosa’s spokesperson, Vincent Magwenya.
South Africa is one of 50 African countries where the Trump administration has imposed reciprocal tariffs. Namibia (21%), Eswatini (10%), Lesotho (50%) and Botswana (37%), which are also part of the Southern African Customs Union, have also been hit with high tariffs.
Trump’s claim that SA imposes 60% tariffs on US goods, on which the administration based the reciprocal 30% levy, is inaccurate, as the overall tariff is about 7.1%.
The tariffs are based on a formula where the US trade deficit with SA ($8.8bn, or R166.3bn, in 2024) is divided by SA exports to the US ($14.7bn, or R277.8bn).
“Some bad things are going on in South Africa,” Trump said during the signing of the executive order announcing the tariffs.
In a fact sheet released after the signing of the order by Trump, the US Trade Representative Office said SA imposed sanitary and phytosanitary barriers on US exporters, justifying the reciprocal tariffs.
The tariffs will remain in effect until President Trump determines that the threat posed by the trade deficit and underlying nonreciprocal treatment is satisfied, resolved or mitigated
— Fact sheet released after the signing of the US tariffs order
“For decades SA has imposed animal health restrictions that are not scientifically justified on US pork products, permitting a very limited list of US pork exports to enter SA. The country also heavily restricts US poultry exports through high tariffs, anti-dumping duties and unjustified animal health restrictions. The barriers have contributed to a 78% decline in US poultry exports to SA, from $89m in 2019 to $19m 2024,” the fact sheet reads.
“The tariffs will remain in effect until President Trump determines that the threat posed by the trade deficit and underlying nonreciprocal treatment is satisfied, resolved or mitigated.”
Some goods including steel, aluminium and vehicle parts are subjected to section 232 tariffs, while copper, pharmaceuticals, semiconductors and lumber products and other minerals not available in the US will not be subject to tariffs.
The additional tariffs, which come into effect on April 9, are in addition to the 25% tariffs imposed on all imported vehicles and foreign-made vehicle parts.
Though SA’s automotive sector enjoys preferential access to US markets through the African Growth and Opportunity Act (Agoa), the executive order signed by Trump last week includes automotive and car components manufactured in SA.
Section 232 of the new tariff regime ushered in by the US Trade Expansion Act means automotives manufactured in SA will be taxed to the same extent as those from non-Agoa beneficiary countries.
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