Trump moves forward with 30% tariffs on South Africa
South African products exported to the US will face a 30% tariff starting next Thursday, President Donald Trump has announced, after Pretoria failed to reach a “fair” trade agreement with Washington ahead of an initial August 1 deadline.
Trump signed an executive order on Thursday unveiling a revised global tariff that adjusts rates for dozens of countries – some facing increases, while a few secured last-minute reprieves. The president claims the tariffs will counter persistent trade deficits, which he considers a threat to US security and the economy.
South Africa’s neighbor Lesotho, previously threatened by a 50% “reciprocal” tariff – the highest imposed on any US trade partner – secured a reduced 15% rate under the newest directive. Zimbabwe was granted a 15% rate, lowered from the 18% announced by Trump in April. Zimbabwean President Emmerson Mnangagwa has said he will remove duties on US imports “in the spirit of constructing a mutually beneficial and positive relationship.”
On Thursday, Trump said the latest action reflects whether countries have “agreed to, or are on the verge of agreeing to, meaningful trade and security commitments” with his administration.
“Other trading partners, despite having engaged in negotiations, have offered terms that, in my judgment, do not sufficiently address imbalances in our trading relationship or have failed to align sufficiently with the United States on economic and national-security matters,” he added.
South Africa is the largest beneficiary of Washington’s flagship African Growth and Opportunity Act, which grants eligible sub-Saharan African countries duty-free access to the US market. After China, the US is South Africa’s second-largest bilateral trading partner.
Late in June, Pretoria’s Department of Trade, Industry and Competition (DTIC) said it was in talks with the Trump administration, aiming to cap tariffs at 10% in a worst-case scenario. According to Reuters, the country offered to buy US liquefied natural gas, ease rules on American poultry imports, and invest $3.3 billion in US industries in exchange for favorable terms.
“We remain engaged with the US in trade negotiations and government will be providing support to companies affected by current tariffs,” South African President Cyril Ramaphosa said on Friday.
