Pretoria’s Lacklustre Tariff Plan Sidesteps US Reform Demands

Econ Desk

August 28, 2025

3 min read

South Africa’s plan to ease US trade tensions avoids core reform demands tied to property rights and security.
Pretoria’s Lacklustre Tariff Plan Sidesteps US Reform Demands
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South Africa's recent trade proposals to the US can only be described as lacklustre. A recent government media briefing only emphasised this. A statement also confirmed that the United States had imposed a 30% unilateral tariff on South African exports from 7 August.

Pretoria’s five-part plan centred on consultations with US officials, submission of revised trade offers, diversification of export markets, an economic support package for affected firms, and steps to boost domestic demand. It also stressed that South African exports make up just 0.25% of total US imports, arguing they pose no threat to American industry.

Absent from the plan was any reference to the four specific preconditions the US has set for normalising relations. Senior White House officials have called for farm attacks to be classified as a priority crime investigated by the Hawks, an unambiguous ANC condemnation of the “Kill the Boer, kill the Farmer” chant in any context, a commitment that expropriation without fair-market compensation will not occur, and an exemption for US companies from BEE rules. These demands go to the heart of the policy environment and require changes the government has long resisted.

By focusing on process over substance, Pretoria is repeating a familiar ANC pattern of avoiding reforms that touch on property rights, racialised economic regulation, and rural security. The emphasis remains on managing perceptions rather than making the structural changes necessary to restore trust.

If the government continues to treat this confrontation as a communications exercise, it risks locking in US trade penalties, losing leverage in negotiations, and cementing the perception abroad that it is unwilling to address even straightforward conditions. Without genuine reform, the gap between the two countries will only widen, eroding both economic opportunities and diplomatic goodwill.

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