
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
Measure | Details | Timeline |
---|---|---|
Competition-law “block exemption” | Temporary waiver letting rival firms coordinate sourcing, shipping and pricing to cut costs | Text to be published by week’s end |
Financial lifeline | Low-interest working-capital loans plus a plant-and-equipment facility to retool factories | Framework to cabinet on Wednesday |
Job-loss cushion | Fast-track access to the Unemployment Insurance Fund and reskilling programmes | Begins once layoffs are reported |
Export support desk | Government-run hub to connect affected companies with new markets via SA embassies | Operational 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.”