John Steenhuisen warns of AGOA uncertainty, urges diversification of export markets
South Africa's Minister of Trade, Industry and Competition, Parks Tau, U.S. Trade Representative Jamieson Greer, and Minister of Agriculture John Steenhuisen after discussions on trade matters between South Africa and the United States
Image: John Steenhuisen/X
The future of South Africa's trade benefits under the African Growth and Opportunity Act (AGOA) remains uncertain, Minister of Agriculture John Steenhuisen has cautioned, saying the government is 'hoping for the best but preparing for the worst.'
This comes despite President Cyril Ramaphosa's recent diplomatic efforts, including a high-level meeting with US President Donald Trump last week, where a South African delegation which included Steenhuisen sought to ease tensions and strengthen trade ties between the two countries.
"Minister Parks Tau had already put on the table what I think is a very serious trade deal and I think it showed that South Africa is a serious country with a serious offer," Steenhuisen said.
Video Player is loading.
Play Video
Play
Unmute
Current Time
0:00
/
Duration
-:-
Loaded :
0%
Stream Type LIVE
Seek to live, currently behind live
LIVE
Remaining Time
-
0:00
This is a modal window.
Beginning of dialog window. Escape will cancel and close the window.
Text Color White Black Red Green Blue Yellow Magenta Cyan
Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan
Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan
Transparency Transparent Semi-Transparent Opaque
Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps
Reset
restore all settings to the default values Done
Close Modal Dialog
End of dialog window.
Advertisement
Next
Stay
Close ✕
Ad Loading
He noted that while discussions on AGOA were held, it was made clear that the agreement was ultimately 'a creature of Congress' meaning its renewal and terms lie in the hands of US lawmakers.
"When we approached the subject of AGOA it was made very clear that is a creature of Congress and that we would have to engage with Congress, my personal view is that AGOA may still be on the boil but it is going to be different from the AGOA we know from the past," he told broadcaster Newzroom Afrika.
Under the AGOA, South Africa has enjoyed duty-free access to the US market for a diverse range of products, including vehicles, citrus fruits, and textiles.
This preferential trade status has been instrumental in boosting key sectors such as agriculture and manufacturing, contributing to economic growth and job creation.
IOL previously reported that as tensions continue to rise between South Africa and the US, farmers who export to the US have warned that they will be hit hard if the AGOA)agreement is not renewed.
"I think that is very clear from some of the tariff negotiations that are taking place between the two countries. It's very clear that this blanket tariff-free access will probably be a feature of the past but we remain to see what will happen with Congress.
"I've adopted the view that we will hope for the best but prepare for the worst," Steenhuisen added.
mthobisi.nozulela@iol.co.za
IOL Business Get your news on the go, click here to join the IOL News WhatsApp channel
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
IOL News
an hour ago
- IOL News
TFG's robust earnings reflect strategic growth and online success
TFG's results for its 2025 financial year underscored a focus on market share growth, margin improvement and cost management, said its CEO, Anthony Thunström Image: Supplied JSE-listed international fashion, homeware and lifestyle retailer TFG's robust financial results for the year to end-March 2025 were fueled by a strong second half from TFG Africa, store expansion, and the acquisition of White Stuff in the UK. Headline earnings a share (HEPS) were up 4.6% to 1015.6 cents. The final dividend was raised by 15% to 230 cents a share. 'The result underscored a 'relentless' focus on market share growth, margin improvement, and cost management,' CEO Anthony Thunström said in a statement. The group has a portfolio of 39 leading retail brands, with over 4 900 outlets in 23 countries on five continents. 'We are targeting the opening of over 100 new stores in the coming year while optimising our existing footprint. With the Riverfields distribution centre now close to fully operational—alongside our other growth and efficiency strategies—we expect continued improvement in operating margins and capital returns in 2026 and beyond,' said Thunström. The Africa business led the charge in the past year with "exceptional" results in the second half. Online sales surged, driven by the success of the Bash platform, which had reached profitability two years ahead of schedule: 'a very likely unique achievement in the South African retail space,' said Thunström. Gross margins expanded by 150 basis points. These gains, along with disciplined cost management across divisions, translated into solid profit growth. Online sales maintained momentum and accounted for 12% of group sales, up from 9.9% the previous year. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad loading TFG Africa's sales were up 7% in the second half as the base normalised from the prior year's first half's clearance activity. All brands and categories showed improvement, generating full-year growth of 3.7%. Thunström said there was strong growth ahead of the market from womenswear, beauty, and jewellery, as well as recently acquired businesses, Jet and Tapestry, where the retail platform provided credit, online, and distribution capabilities. Online sales grew 43.5% and contributed 5.8% (2024: 4.2%) to total TFG Africa sales. TFG UK increased sales 16.4% in pounds following the acquisition of White Stuff from October 25, 2024. White Stuff saw 20.3% year-on-year growth for the five months post-acquisition. The addition of White Stuff to the portfolio saw store sales up 11.8% and online sales grow 22.5%. Online sales now contribute 44.8% (42.7%) of total TFG UK sales. TFG Australia faced difficult trading conditions, with sustained high inflation and interest rates impacting the consumer. Sales were 2.6% lower in Australian dollars, with a mixed performance throughout the second half in a 'highly promotional market,' Thunström said. Online sales grew by 7.3% and now contribute 8.1% (7.3%) to total TFG Australia sales.
The South African
2 hours ago
- The South African
What happens if Afrikaner 'refugees' want to come home?
A second batch of Afrikaner 'refugees' have settled into the US, and thousands more are expected to arrive. However, with South African-born Elon Musk's ongoing feud with President Donald Trump, concern is mounting among those who now call America home. More importantly, will they be allowed to return to South Africa? It's no secret that President Donald Trump's view of South Africa was influenced by his former right-hand man, Elon Musk. Born in Pretoria, and having left at just 17, the world's richest man has actively accused his country of birth of promoting 'white genocide', 'farm confiscation,' and 'racist laws'. With Trump now threatening to cut all government contracts to Musk, and possibly distance himself from him altogether, what does this mean for the Afrikaner 'refugees' already in the US? What does Elon Musk's rant mean for Afrikaner 'refugees'? Images via X The group of white South Africans was offered asylum based on proving their fear of persecution on the grounds of race, religion, nationality, political opinion, or membership in a particular social group. Under US and international immigration laws, refugees who have received asylum cannot simply be deported to their country of persecution. Legislation also vigorously protects their rights to stay in their new adoptive country. However, their status can be terminated should they be found guilty of serious crimes or if they fraudulently sought asylum. According to the US Citizenship and Immigration Services (USCIS), there is a strict vetting process for those who seek refugee status in the country. Once resettled in the US, refugees are permitted to work immediately. They will be eligible for a green card a year later. However, there are also stringent travel restrictions in place. The USCIS states that all refugees must obtain permission via a travel document before they depart the US. Failure to do so could result in asylees being denied re-entry into the US. These actions could also strip asylees of their refugee status, resulting in removal proceedings before an immigration judge. In the case of Afrikaners, returning to South Africa – considered the country of 'persecution' – could come at a cost. Here is how… Refugees who visit SA without prior permission shall be presumed to have abandoned their asylum unless they can establish compelling reasons for their return. Refugees are expected to explain the reason for their return in the process of obtaining permission. Returning to one's country of claimed persecution could result in termination of asylum if there are fundamental changes in circumstances back home. Termination could also occur due to fraud in the asylum application. This happens if an applicant is not eligible for refugee status. Returning to SA for business or pleasure can be considered evidence that the refugee's alleged fear of persecution is not genuine. For Afrikaner 'refugees' hoping to return home willingly for good, voluntary repatriation is always an option. Organisations like the UNHCR help those who wish to travel back to their countries by providing financial assistance. According to the South African Department of International Relations, 'refugees' would be welcomed back as citizens. However, they would have to revoke their status in order for this to happen. Let us know by leaving a comment below, or send a WhatsApp to 060 011 021 1 . Subscribe to The South African website's newsletters and follow us on WhatsApp , Facebook , X , and Bluesky for the latest news.
IOL News
2 hours ago
- IOL News
Elon Musk's influence on Trump: A closer look at the Afrikaner genocide debate
US president Donald Trump shakes hands with billionaire businessman Elon Musk on May 30 before their public feud. Image: Allison Robbert / AFP The public fallout between US President Donald Trump and South African-born billionaire Elon Musk is not bothering one of the political parties in the Government of National Unity (GNU). Trump and Musk took to their social media platforms this week over differences in his administration's spending. Musk stated that Trump would not have won the 2024 presidential elections without his campaign spending hundreds of US dollars. Freedom Front Plus leader Dr Corné Mulder said he did not believe the approach by Trump or his administration would be changed due to the bitter feud and affect its response to allegations of 'genocide' against white Afrikaner farmers in South Africa. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Mulder was responding to questions about whether the fallout could see Trump dramatically changing his views on the white Afrikaner genocide in South Africa. Musk is widely regarded as a person who wielded immense influence on Trump. 'It is incorrect to assume that US foreign policy is based on the influence of specific individuals. Unhappiness with SA is not something new. Even during the (Joe) Biden administration, a bipartisan bill was introduced in the US Congress to relook the US-SA relationship,' he said. Political analyst Professor Dirk Kotzé said Musk has in the past been influential in these issues, but there are many other South Africans who are also influential and close to Trump. 'So it will not necessarily change this matter, I don't think Musk was the one who dealt with or promoted the issue of genocide necessarily, he was more there in terms of black economic empowerment and employment equity and those government policies that he criticised, so he will continue with that until there is an agreement about Starlink,' Kotzé explained. He added: 'When it comes to the Afrikaner issues and what is called genocide, I don't think he was ever a key person in that, I think that is more where the conservatives – AfriForum, Solidarity, (South African-born American conservative political commentator and radio host) Joe Pollak and others – came in to promote that idea.' Kotzé said his understanding is that there has been a smaller, second group that went to the US after the earlier AfriForum-Solidarity delegation, but without any public attention because it created much more disturbances within US politics in general. 'So I think it has become a controversial issue in the US, and Trump wants to avoid that. I can see that this is not going to be a public project in the future, it is not something they will announce in the media, welcome them, and have public events,' he predicted. Kotzé also anticipates that this initiative or project will, over time, actually slow down. 'I don't see it developing strong momentum that it will be something very prominent in the future. I think it is going to disappear over time,' he said.
