South Africa has confirmed it will not impose retaliatory tariffs on the United States despite President Donald Trump’s recent announcement of increased duties on South African imports. The US plans to implement a 31% “reciprocal tariff” on most South African goods and a 25% levy on automotive imports starting April 9.

South Africa’s Strategic Response

Trade, Industry, and Competition Minister Parks Tau stated that retaliatory measures would be “counterproductive” without first engaging in discussions with US officials. South Africa is still assessing how the US calculated the 31% tariff rate, as its own analysis shows US imports face an average duty of only 7.6%.

“Imposing reciprocal tariffs without dialogue risks a race to the bottom,” Tau said during a joint briefing with International Relations Minister Ronald Lamola on April 4. Instead, South Africa will focus on negotiating a bilateral trade agreement with the US to secure long-term market access.

Impact on South African Exports Under AGOA

Trump’s decision effectively nullifies South Africa’s duty-free and quota-free benefits under the African Growth and Opportunity Act (AGOA), which was set for a Congressional review in September 2025. The new tariffs were imposed via presidential executive order, while the automotive duties fall under Section 232 of the US Trade Expansion Act.

Affected South African Exports:

• Agriculture, food, and beverages
• Boatbuilding, equipment, and machinery
• Certain chemical products
• Automotive vehicles and components (25% tariff)

Exemptions apply to select minerals, chemicals, and pharmaceuticals. In 2024, South Africa exported R153 billion worth of goods to the US, including R35 billion in vehicles—primarily luxury models from BMW and Mercedes-Benz South Africa.

South Africa’s Trade Relationship with the US

Lamola emphasized that South Africa remains committed to a mutually beneficial trade partnership with the US, despite the “punitive” tariffs.

“The tariffs highlight the urgency of a new bilateral agreement to ensure fair and stable trade,” Lamola said. He noted that South Africa accounts for just 0.4% of total US imports, while 7.45% of South Africa’s exports went to the US in 2024.

“Any trade imbalance favoring South Africa stems mainly from agricultural and mineral exports, which are critical inputs for US industries,” he added.

Next Steps: Bilateral Talks and Diplomatic Engagement

Neither minister provided a specific timeline for negotiations but confirmed that a trade proposal is being drafted for Cabinet approval before a delegation is sent to Washington.

• President Cyril Ramaphosa will determine the timing of high-level talks.
• A special envoy (to be appointed) will lay the groundwork for discussions.
• The diplomatic push follows the recent recall of former South African ambassador Ebrahim Rasool.

Lamola hinted that Ramaphosa may eventually engage directly with US leadership “at the right time.”

The Department of Trade, Industry, and Competition is also monitoring potential indirect effects of US tariffs, such as redirected exports flooding other markets and creating unfair competition for South African firms.