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South Africa continues to engage the United States (US) government on the reciprocal tariffs

South Africa continues to engage the United States (US) government on the reciprocal tariffs

Zawya01-08-2025
President Cyril Ramaphosa notes with concern the reciprocal tariffs imposed by the United States (US) on South African products.
The reciprocal tariffs have been imposed by the US on a significant number of its trade partners and South Africa has not been spared. South Africa will continue negotiating with the US regarding the 30 percent tariff announced by the US, which will come into effect on or after 12h01 eastern daylight time, 7 days after 1 August 2025.
All applicable exceptions published in the previous US Executive Order are set to remain in force and these exceptions covered products such as copper, pharmaceuticals, semiconductors, lumber articles, certain critical minerals, stainless steel scrap and energy and energy products.
Government has been engaging the United States, and has submitted a Framework Deal that aims to enhance mutually beneficial trade and investment relations. All channels of communication remain open to engage with the US and our negotiators are ready pending invitation from the US.
In the meantime, Government is finalising a package to support companies that are vulnerable to the reciprocal tariffs. The package consists of a number of measures to assist companies, producers and workers affected by the tariffs on SA exports to the US. The details of the measures will be announced in due course.
South Africa and US trade relations are complementary in nature and South African exports do not pose a threat to US industry. Importantly, SA exports to the US contain inputs from the African Continent and contribute to intra-Africa trade.
South Africa will continue to pursue all diplomatic efforts to safeguard its national interests. It is important that as a country we keep our people at work and our companies producing some of the high-quality products destined for many parts of the world.
To this end, Government will intensify its diversification strategy to create resilience of our economy and is working with export councils and industry associations, as well as top exporters to the US with a view to assist with alternative markets. In this regard, an Export Support Desk to provide updates on development and provide advisory services to exporters has been established. The details are to be published by the Department of Trade, Industry and Competition on its website.
Government, through the dtic is also in constant contact with the US on the Framework Deal. The Executive order published by the United States today clarifies that goods loaded onto a vessel at the port of loading and in transit on the final mode of transit before 12h01 eastern daylight time, 7 days after 1 August 2025, and entered for consumption, or withdrawn from warehouse for consumption, before 12h01 eastern daylight time on 5 October 2025, shall not be subject to such additional duty and shall instead remain subject to the additional ad valorem duties previously imposed in Executive Order 14257, as amended.
Distributed by APO Group on behalf of The Presidency of the Republic of South Africa.
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