President Cyril Ramaphosa held a telephone discussion with US President Donald Trump regarding the trade deal impasse on the eve of the deadline for imposing a 30% tariff on South African imports.
Presidential spokesperson Vincent Magwenya said in a statement on Thursday afternoon that the presidents had discussed “bilateral trade matters” on Wednesday.
The US administration’s unilateral 30% tariff on South African imports took effect on Thursday.
“The two leaders undertook to continue with further engagements, recognising the various trade negotiations the US is currently involved in. Respective trade negotiating teams will take forward more detailed discussions,” Magwenya said.
A cabinet statement issued on Thursday outlined measures the government is taking to deal with the economic impact of the country’s failure to negotiate a deal with one of its biggest trading partners.
The statement said cabinet had received an update on the Framework Deal with the US and that tariffs would be reviewed “as soon as the two countries reach a deal”.
“Cabinet affirmed government’s commitment to finding constructive and sustainable solutions through continued engagements with the United States of America, including at a presidential level,” it said.
“President Ramaphosa reached out through a phone call to President Trump yesterday morning as part of bolstering South Africa’s negotiation efforts on the trade agreements.
“Government’s efforts remain focused on growing the economy to save and create new jobs, including intensifying diversification efforts and strengthening global supply chain integration as the country works to expand its export markets to Asia, Europe, the Middle East and across Africa to enhance our economic resilience.”
The statement added that the government was focusing on “demand-side interventions” for the impacted industries and “targeted interventions” to ensure stability and safeguard employment.
These include the earlier announced establishment of an Export Support Desk, which will serve as a point of contact for affected companies, measures to assist companies in absorbing tariffs and facilitate long-term resilience.
It includes a Localisation Support Fund (LSF) for affected companies.
The Export and Competitiveness Support Programme (ECSP) will include a working capital facility and plant and equipment facility to address short- to medium-term needs across all industries.
“Following consultations with the Competition Commission, a Block Exemption for Exporters has been introduced to enable collaboration and coordination by competitors. A draft Block Exemption will be published by the end of the week so that the process can be concluded expeditiously,” the statement said.
Cabinet said South Africa was also diversifying its trade partnerships to enhance economic resilience.
It highlighted efforts to expand export markets to Asia, Europe, the Middle East and across Africa.
A key initiative is the South Africa-China Trade and Investment Package (2025–2029), developed by the Department of Trade, Industry and Competition.
The package, shared during Deputy President Paul Mashatile’s visit to China in July, prioritises trade in the top 100 products, a permanent expo in China, and investments in sectors like steel, automotive and pharmaceuticals. It also includes skills development to support these industries.
