“30% reciprocal tariff places us on the upper end of the countries.” – Lawrence Edwards, UCT.
The automotive sector is already facing pressure following a production pause at Mercedes-Benz SA.
At least 20% of South Africa’s Klein Karoo shipments go to America.
Wrong or right, US President Donald Trump is in full ‘bull-in-a-China-shop’ mode, pun intended.
The increase has been driven largely by demand from China, the nation’s leading importer.
South African competitors claim the site exploits the de minimis exemption by Sars.
The US president said the region had vast economic potential, unmatched in its possibilities.
Cotton production rose 2% in 2024 but market forces pulled prices down.
Although exporters could absorb the current tariff, an increase up to 30% could be a death knell.
The 30% tariff will affect trade and jobs, delivering a crippling blow to the economy.
Economists caution that mitigating measures are unlikely to compensate for immediate losses.
