South Africa will use the week-long delay in the United States’ imposition of 30 per cent tariffs to negotiate aggressively to avoid the penalty and safeguard employment, President Cyril Ramaphosa said Friday.
South Africa is among nearly 70 countries facing President Donald Trump’s new tariffs on exports that were initially set to take effect on Friday but were postponed until August 7.
The United States is South Africa’s second-largest trading partner after China, and central bank governor Lesetja Kganyago has warned that the tariffs could cost the economy around 100,000 jobs.
“Within the window that’s still open, we’re hoping that we will find a way to settle this matter,” Ramaphosa told journalists. “So intensive negotiations are now under way,” he said.
“Our task is to negotiate as strongly and as hard as we can with the United States,” he added. “Our objective, really, is to save jobs.”
South Africa’s agriculture and automotive sectors are expected to be hardest hit by the tariffs, which would worsen the country’s already high unemployment rate of more than 30 percent – the highest in Africa’s most industrialized economy.
While engaging in talks with Washington, Pretoria is also seeking to expand other export markets. “Because it is too risky just to focus on one,” Ramaphosa said.
South Africa has offered to import US liquefied natural gas and certain agricultural products as part of its proposal to avoid the tariffs, the trade ministry said this week.
Additionally, South African companies have committed to investing in US mining and metals-recycling industries and to pursuing joint investment in critical minerals, pharmaceuticals and agri-machinery, the ministry added.
