Jobs at Risk? How the US Tariff on South African Exports Could Hit Your Wallet

The US will add a 30% tax on all South African goods from August 1, 2025. Many in South Africa are worried, especially since Ramaphosa just met with the US president to improve relations.

The tariff decision was shared in a formal letter sent by President Donald Trump to Ramaphosa on 7 July. The letter accuses South Africa of keeping long-standing trade barriers and says these barriers have led to unfair trade deficits against the United States.

According to the letter, the new tariffs will apply to all South African exports, regardless of existing trade agreements. This includes goods such as cars, minerals, and farm products.

Analysts Question the Success of Ramaphosaโ€™s US Visit

Political analyst Professor Sipho Seepe said this tariff proves that Ramaphosaโ€™s recent trip to the US was not a success. He called the visit โ€œplain nonsenseโ€ and said it was clear from the start that Donald Trump had no real interest in improving ties.

During the visit, Trump even played a video clip of EFF leader Julius Malema chanting โ€œKill the Boerโ€ and accused him of inciting violence. He asked for Malema to be arrested, but South African officials rejected the claim, saying it was political speech, not a crime.

Seepe believes that Trumpโ€™s strong dislike for South Africaโ€™s land reform policies played a big role in this tariff move. He said Ramaphosa appeared weak during the visit and failed to make a strong case for South Africaโ€™s interests.

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Land Reform and Trade Tensions

US officials say the main reason for the tariff is South Africaโ€™s land policy. Former President Trump has criticised the plan, saying it takes land from white farmers. The South African government has denied this, saying the land reforms are legal and fair.

Trumpโ€™s administration has also expressed concern over violence in rural areas, including farm attacks. These issues have added to the growing tension between the two countries. In February, the US also cut funding for HIV/AIDS programmes in South Africa, another sign that relations are under strain.

South Africa Responds to the Tariff Decision

Presidential spokesperson Vincent Magwenya confirmed that South Africa received the official letter. He said the government believes that the US has misread the trade data.

According to Magwenya, 56% of goods imported into South Africa enter with zero tariffs, and 77% of US goods come into the South African market without any duty. He said this proves that South Africa is not the one with unfair barriers.

He added that the two countries are now in talks to fix the issue. The US has agreed that the 30% tariff can still be changed if both sides reach an agreement before the start date.

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Impact on Jobs and Key Sectors

The new tariff will hit mining, vehicle manufacturing, and agriculture the hardest. Citrus exports will be especially affected.

Farmers and industry groups are warning that this tariff could lead to job losses, especially in rural communities that depend on trade with the US. For example, the citrus sector alone supports over 35,000 jobs.

SectorExport Value to USJobs at Risk
Citrus farmingR1.8 billion35,000
Auto industryR36 billion10,000+
Mining productsR72 billionThousands more

Industry leaders are calling on the government to act quickly. They want clear answers on how South Africa will protect these jobs and keep exports flowing.

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