South Africa poses no threat to US – officials

https://www.rt.com/africa/622462-south-africa-poses-no-threat-us/

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Pretoria’s foreign and trade ministries say they remain in talks with the White House in pursuit of a “mutually beneficial” trade deal

South Africa poses no trade threat to the US economy or national security, Pretoria has said, arguing that Washington’s “trade deficit” claims overlook American gains in services and the broader investment ties between the two countries.

US President Donald Trump imposed a 30% tariff on South African goods as part of global levies targeting imports from multiple countries. The new duties are scheduled to take effect on Friday.

Pretoria had sought to secure a “fair” trade deal ahead of an initial August 1 deadline, following negotiations announced by its Department of Trade, Industry and Competition in June. However, in an executive order last Thursday, Trump left duties on South African goods unchanged, even as tariffs on some neighbors, including Lesotho and Zimbabwe, were lowered. He said some partners had engaged in talks but either offered inadequate terms to address trade gaps or failed to align with US economic and national security priorities.

“South African exports do not compete with US producers and do not pose a threat to US industry,” the trade and foreign ministries of Africa’s biggest economy said in a joint statement on Monday.

“The calculation of US-SA ‘trade deficit’ ignores the substantial US trade surplus in services,” they stated.

According to the statement, while the government will continue to engage the White House through diplomatic channels to secure a mutually beneficial trade deal, it is also implementing measures to address potential job losses resulting from the “unilateral” tariffs.

“South Africa seeks to conclude deals that promote value addition and industrialization, rather than extractive relations that deprive the country of the ability to beneficiate our mineral wealth by mimicking extractive colonial era trade relations,” it added.

Pretoria is considering easing competition rules to support exporters, while stepping up efforts to boost trade and investment ties across Africa, Asia, Europe, the Middle East, and the Americas, the ministries said.

According to official figures, the US accounts for 7.5% of South Africa’s global exports and is the country’s third-largest trading partner after the European Union and China.