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South African President Cyril Ramaphosa on Tuesday slammed the unilateral imposition of a 30 per cent trade tariff by US President Donald Trump, describing it as "not an accurate representation" of the trade data available between the US and South Africa.
In a statement following Trump's announcement of the tariff on the African nation, which will be effective from August 1, Ramaphosa responded by contesting the interpretation of trade data that underpins the tariff, highlighting discrepancies in the trade figures. "This 30% tariff is based on a particular interpretation of the balance of trade between South Africa and the United States. This contested interpretation forms part of the issues under consideration by the negotiating teams from South Africa and the United States. Accordingly, South Africa maintains that the 30% reciprocal tariff is not an accurate representation of available trade data," he stated. The South African President noted that the average tariff on imported goods entering South Africa is 7.6 per cent, with 56 per cent of goods entering at a 0 per cent most-favoured-nation tariff and 77 per cent of US goods entering the South African market duty-free. "In our interpretation of the available trade data, the average tariff on imported goods entering South Africa stands at 7.6%. Importantly, 56% of goods enter South Africa at 0% most favoured nation tariff, with 77% of US goods entering the South African market under the 0% duty," the statement noted. Ramaphosa, in his remarks, noted trade negotiations with the US most recently on June 23, during the US-Africa Summit in Luanda, Angola, where South Africa learnt of a template the US wishes to use for engaging sub-Saharan Africa on trade matters, though the template has yet to be received. He also called for a proactive approach to resolving the dispute based on a "Framework Deal" that South Africa submitted in May. "The South African negotiating team still awaits this template; however, President Ramaphosa has instructed the team to urgently engage with the US based on the Framework Deal that South Africa submitted to the US on 20 May 2025. This Framework deal addresses the issues initially raised by the US, including South Africa's supposed trade surplus, unfair trade practices, and lack of reciprocity from the US," the statement read. "The President urges government trade negotiations teams and South African companies to accelerate their diversification efforts in order to promote better resilience in both global supply chains and the South African economy," it added. The statement also welcomed the US government's indication that the 30 per cent tariff is subject to modification following the conclusion of negotiations, reflecting a potential pathway to a more balanced trade relationship. "South Africa will continue with its diplomatic efforts towards a more balanced and mutually beneficial trade relationship with the United States," it stated. Earlier today, US President Trump, in a letter to the South African President, announced a 30 per cent tariff on "any and all South African products sent into the United States, separate from all Sectoral Tariffs." Additionally, he pointed out that the 30 per cent imposition was a lot less than what is required to close the trade deficit gap between both countries. "Our relationship has been, unfortunately, far from Reciprocal. Starting on August 1, 2025, we will charge South Africa a Tariff of only 30% on any and all South African products sent into the United States, separate from all Sectoral Tariffs. Goods transshipped to evade a higher Tariff will be subject to that higher Tariff. Please understand that the 30% number is far less than what is needed to eliminate the Trade Deficit disparity we have with your Country," the letter read. (ANI)
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