South Africa unveils safety-net for firms facing new 30 % US tariff

South Africa will roll out a package of emergency measures this week to shield domestic exporters—especially farmers and automakers—from a 30 % tariff the United States is due to impose on Wednesday, Trade Minister Ebrahim Patel announced Monday.

Key elements of the plan

MeasureDetailsTimeline
Competition-law “block exemption”Temporary waiver letting rival firms coordinate sourcing, shipping and pricing to cut costsText to be published by week’s end
Financial lifelineLow-interest working-capital loans plus a plant-and-equipment facility to retool factoriesFramework to cabinet on Wednesday
Job-loss cushionFast-track access to the Unemployment Insurance Fund and reskilling programmesBegins once layoffs are reported
Export support deskGovernment-run hub to connect affected companies with new markets via SA embassiesOperational this month

Pretoria rejects politics-driven narrative

Foreign Minister Ronald Lamola dismissed claims that the tariff punishment stems from South Africa’s affirmative-action laws or its genocide case against Israel at the World Court—both criticised by U.S. President Donald Trump. “Our exports pose no threat to U.S. industry or security; many actually underpin American supply chains,” Lamola said.

For months Pretoria offered concessions—including a pledge to purchase U.S. LNG and invest $3.3 billion in U.S. plants—in hopes of averting the levy. Talks collapsed despite a sweetened, last-minute pitch.

Government economists warn the duty could wipe out tens of thousands of jobs, with agri-exports such as citrus and wine, plus auto assembly lines, most at risk.

Patel said Pretoria will keep pushing Washington to revisit the proposal tabled earlier this year, but “our priority now is to blunt the immediate shock for workers and businesses at home.”

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