South Africa is continuing its efforts to get a trade deal with the United States that lowers the 30% tariffs on exports to America that came into effect this month.
A second South African offer has been sent to the US, after the first one was rejected by US trade officials. Deputy President Paul Mashatile said this would be followed up during a visit to Washington by a trade delegation sent by President Cyril Ramaphosa.
“We will continue engaging with the USA to identify practical solutions. The President will be sending the delegation once again to the White House to engage with the US administration on this matter,” he said.
Mashatile was speaking to automotive manufacturers and suppliers in the Eastern Cape, where the vehicle industry grew substantially because of preferential access to US markets that has now been lost.
“Overall, the imposed tariffs threaten to disrupt well-established trade flows and weaken the global competitiveness of South Africa’s automotive manufacturing ecosystem.
“There will be repercussions felt throughout the entire value chain if we do not reach an amicable trade agreement with the White House,” he added.
“However, this does not suggest that we do not need other nations as trading partners. We believe in diversifying our investments and engaging in trade with several partners.”
Mashatile said the Cabinet was committed to protecting the economic interests of the country.
FairPlay notes that the deputy president did not tell motor manufacturers that, in seeking a deal that favours them, the government is once again prepared to sacrifice the interests of the country’s poultry industry. This strategic national industry feeds the nation, but it is threatened by the government’s offer that, in order to gain benefits for other industries, it will accept a flood of dumped chicken imports from the US.
