Trump’s 30% tariff blow stuns SA: Ramaphosa scrambles to shield exporters from economic fallout
South Africa is in emergency mode after US President Donald Trump signed an executive order confirming a 30% tariff on South African exports to the US — a move that could cost up to 100,000 local jobs and shave off 0.2% of GDP.
“All channels of communication remain open to engage with the US, and our negotiators are ready pending invitation from the US,” President Cyril Ramaphosa said on Friday.
In a televised statement, Ramaphosa confirmed that the Department of Trade, Industry and Competition (DTIC) had launched an “Export Support Desk” and is finalising “a package to support companies that are vulnerable to the reciprocal tariffs.”
“The package consists of a number of measures to assist companies, producers and workers affected by the tariffs on SA exports to the US. The details of the measures will be announced in due course,” he added.
The move follows weeks of failed negotiations and a missed US-set deadline, despite Pretoria’s attempt to sweeten a framework deal during Ramaphosa’s high-stakes visit to the White House.
“No company can compete with 30% tariffs”
The economic shock has been immediate. South Africa’s second-largest trading partner after China, the US imports South African goods ranging from luxury vehicles to citrus. Trump’s tariff order takes effect seven days from July 31, targeting SA far more severely than most African nations, some of which saw tariffs lowered to 15%.
The Congress of South African Trade Unions (Cosatu) slammed the move as devastating:
“We fear the devastation this will wreak upon farmworkers in the citrus industry from the Western Cape to Limpopo, to motor manufacturing workers from the Eastern Cape to Gauteng. No company can compete with 30% tariffs. Many may close,” Cosatu warned.
The Citrus Growers Association echoed the alarm:
“The 30% tariff will be felt most acutely in rural communities in the Northern and Western Cape,” said CEO Dr Boitshoko Ntshabele.
“Fresh South African citrus plays a significant role in keeping America healthy … If a beneficial trade deal is not concluded, our next export season will feel the full effect of the tariff.”
DA blames “ineptitude”, calls help desk “laughable”
In a blistering joint statement, DA MPs Toby Chance and Ryan Smith said:
“This ‘no deal’ scenario is due to sheer negligence, failed diplomacy and ineptitude. The SA negotiators missed their first deadline … and our Minister of Trade has no contingency plans. Last night he offered up a laughable ‘help desk’ for fearful exporters.”
They also contrasted South Africa’s 30% penalty with Botswana’s successful tariff reduction to 15% and demanded a new US ambassador with “an understanding of the current administration.”
Dawie Roodt: “It’s not about economics – it’s politics”
Renowned economist Dawie Roodt believes the tariffs are politically motivated:
“We are basically irrelevant to the US economy. This cannot be about economics; it must be about politics. You don’t mess with a bully. That’s just the reality,” Roodt said.
“The South African economy is not growing because of the mismanagement by the ANC. That’s the reason.”
Roodt warned that the worst may lie ahead, saying:
“It’s not the end. There is more to come.”
“Sanctions against individuals are one thing, but to implement financial sanctions against South Africa is another. That’s going to be far more damaging.”
Africa turns to China as trade tensions mount
As Trump’s global tariff shock deepens, analysts say Africa is drifting further into China’s orbit.
“We (Africa) are going straight into the hands of China,” said Nigerian economist Bismarck Rewane.
South African researcher Neo Letswalo told CNN:
“America is gradually forfeiting its global leadership status … there is no other opportunity for African countries to strengthen South-South trade than now.”
The bigger picture: Global fallout and missed diplomacy
South Africa’s steel, wine, auto, and agricultural exports — previously protected under the African Growth and Opportunity Act (AGOA) — are now effectively priced out of the US market.
“Increasing tariffs to 30% effectively nullifies that market,” warned SEIFSA CEO Tafadzwa Chibanguza.
Many fear that even if ties are repaired, lost market share will not return. As Cosatu bluntly put it:
“This calamity has been made worse as South Africa has been unfairly made a global skunk.”
