New York: South African President Cyril Ramaphosa has announced that his government is in discussions with U.S. trade representatives to seek a reduction in tariffs imposed on South African goods. The 30% tariffs, enacted during President Donald Trump's previous term, followed unsuccessful attempts by South Africa to secure a favorable trade agreement.

President Ramaphosa criticized the increasing use of trade as a geopolitical tool, warning that such measures destabilize the global economy and hinder development. He emphasized the importance of the United States as a trade partner for South Africa and highlighted the African Growth and Opportunity Act (AGOA), which provides duty- and quota-free access to U.S. markets for products from 32 African nations. The AGOA treaty, which has historically benefited South Africa, did not receive a congressional vote last year, and uncertainty has grown with Trump's return to the White House.

In response to the U.S. tariffs, South Africa is exploring alternative markets and investment partners. At the ninth annual South Africa-China trade promotion conference, both countries pledged to deepen investment cooperation in sectors including mining, energy, and infrastructure.

Chinese companies are investing in South Africa's gold mining operations and energy transition projects, with firms like China State Construction planning to expand local procurement.

Deputy Trade Minister Zuko Godlimpi highlighted the government's focus on attracting Chinese investment, particularly in manufacturing and renewable energy.

The expiration of the AGOA treaty at the end of September 2025 has created concern among African governments and businesses. The U.S. administration has shown little interest in renewing AGOA, prioritizing bilateral trade deals instead. Countries like Kenya and South Africa are pursuing individual agreements to maintain access to the U.S. market. Analysts warn that the end of AGOA could reduce Africa’s exports to the United States by a quarter and cause significant job losses, especially in the textiles and apparel sectors.

South Africa’s dual approach of negotiating tariff reductions with the U.S. while strengthening ties with alternative partners reflects its strategy to safeguard the economy amid shifting global trade policies.