South Africa

South Africa pushes back on U.S. 30% tariff, faces AGOA threat

today8 July, 2025

Background

South African President Cyril Ramaphosa and U.S. President Donald Trump

Pretoria, South Africa — President Cyril Ramaphosa on Tuesday denounced the United States’ decision to impose a 30% reciprocal tariff on South African exports, calling it a “contested interpretation” of trade data and warning that it misrepresents existing trade relations.

South Africa’s data shows that 56% of all imports enter under zero-rated most-favoured-nation tariffs, while 77% of American goods enter South Africa duty-free. Separately, Reuters reports that Ramaphosa welcomed the U.S. position that the 30% tariff may be adjusted depending on the outcome of ongoing negotiations. Adding that South Africa remains committed to pursuing a “balanced and mutually beneficial” trade agreement and has requested trade deal protocols since submitting its Framework Deal on 20 May 2025.


Agriculture Minister and Democratic Alliance leader John Steenhuisen, meanwhile, warned that the tariff would deliver “a devastating blow” to South Africa’s exporters and could spell the end of preferential access under the AGOA (African Growth and Opportunity Act). He urged urgent action in the coming weeks to prevent implementation. The DA’s spokesperson, Willie Aucamp, explains. 

 


Industries potentially impacted include citrus exporters, wine producers, vehicle manufacturers, and textile firms—sectors employing thousands and contributing billions in export revenue.

The U.S. announced this tariff on 7 July as part of a wider reciprocal tariff package affecting 14 countries, to take effect from 1 August unless a resolution is found. South Africa, the U.S.’s second-largest trading partner in Africa, has tentatively proposed reciprocal concessions including LNG imports and agreed auto export quotas. AGOA, which is key to South Africa’s export sector, may already be undermined, with experts saying the tariff is tantamount to its end. 

South Africa is awaiting final U.S. trade frameworks to begin formal negotiations under its Framework Deal. Ramaphosa has, however, called on businesses to explore new markets beyond the U.S. to safeguard economic resilience.

Written by: Tonata Kadhila