On 29 July 2025, the Department of Trade, Industry, and Competition (the dtic) published the minister’s speech on South Africa’s comment on the conclusion of a US trade deal.
Text to Speech
The intersection of geopolitical, domestic and trade issues best defines the current impasse between South Africa and the United States of America (US), and a reset is unavoidable.
South Africa decided not to retaliate against the reciprocal tariffs announced by the US. We also want to reiterate that we have no intention of decoupling from the US either. Our view is that negotiations remain the best tool to deal with the issues that are on the table.
South Africa is not in a unique position. We remain committed to the cause as we await substantive feedback from our US counterparts on the final status of our framework deal.
Our deal featured a number of areas, including but not limited to:
- Importing 750 to 100 petajoules of Liquefied Natural Gas (LNG) for 10 years, unlocking $12 billion;
- Agricultural market access by simplifying US poultry exports under the 2016 tariff rate quota and unlocking approximately $91 million in trade. In addition, readiness to open market access for blueberries is subject to necessary protocols.
- South African firms are committed to invest $3.3 billion in US industries such as mining and metals recycling. At the same time, both governments agreed to pursue joint investment in critical minerals, pharmaceuticals, and agri-machinery.
- Exemption of specific sectors from reciprocal tariffs to preserve supply chains, e.g, shipbuilding, counter-seasonal agriculture trade, and exports from MSMEs of less than $1 million per annum.
As the dtic, we have been in a period of intense negotiations with the US. We have signed a condition precedent document and have readied our inputs for entry into the template, which is to follow from the US. Despite the challenges presented by this period, we have put our best foot forward by bringing together subject specialists within our ranks who have dug deep to ensure our country is adequately prepared for a number of potential scenarios.
We have planned for these scenarios and have not sat idle. We are working with other government departments on a response plan which includes a support desk within the dtic. Our response package also focuses on demand-side interventions in the impacted industries.
The way forward is clear. The South African president has expressed our willingness to reset the trade relationship with the US and develop a mutually beneficial solution. The dtic has made this issue an apex priority since well before 02 April 2025, and we have centred South Africa and her people as our non-negotiable. Rest assured, we will not waver in our mission to ensure South Africa prospers.