President Cyril Ramaphosa has announced that South Africa is ramping up efforts to diversify its export markets and product offerings
Image: Itumeleng English / Independent Media
President Cyril Ramaphosa has announced that South Africa is increasing efforts to diversify its export markets and products. This move aims to improve market access, strengthen industry, and create jobs.
The announcement comes in response to US President Donald Trump's decision to impose a 30% tariff on South African goods, claiming that South Africa imposes a 60% tariff on US imports—a claim that Pretoria has strongly disputed.
The tariffs are part of a wider set of protectionist measures targeting countries that Trump has accused of "ripping off" American taxpayers. However, the US president has suspended all "reciprocal" tariffs for three months, except those aimed at China.
The Trump administration has also introduced tariffs on all cars and car parts entering the US, including from countries benefiting from the African Growth and Opportunity Act (AGOA).
Amid ongoing concerns over deteriorating relations with the United States, various sectors have called for the country to seek alternative markets.
"Developing economies such as ours are vulnerable to volatility in international trade. This is particularly the case in the face of unilateral actions and coercive measures that undermine multilateral agreements and the global rules-based trading system," Ramaphosa said in his weekly newsletter on Monday.
"We are therefore working in different ways to make our domestic industries more resilient."
Ramaphosa further stated that efforts were ongoing to diversify destinations for South African goods, products, and services.
"To bolster the value of our exports we are strengthening the regulatory regime. For example, last month we signed the Plant Health Act into law. This will improve domestic biosecurity and ensure there is greater alignment with international export requirements.
"We are intensifying our efforts to diversify destinations for South African goods, products, and services."
He also pointed out that South Africa had gained access to new markets in Asia.
"Last year marked a number of ‘firsts’ for South African agricultural exports. We gained access to the Thailand market for apples for the first time in 16 years and exported our first container of avocados to Japan. This month we also gained market access for South African table grapes to the Philippines."
IOL Business