— Michael Akinola | Premier World News
South African President Cyril Ramaphosa has warned that losing access to preferential trade benefits under a major United States programme could have a “devastating” economic impact, particularly on jobs, as diplomatic and trade relations between Pretoria and Washington remain strained.
Ramaphosa said on Monday that his government was preparing for the possibility of South Africa being excluded from the African Growth and Opportunity Act (AGOA), while seeking alternative export markets to reduce the potential economic fallout.
“I need, as President, to prepare us if it ever happens,” he said, urging South Africans not to panic over the prospect of losing the trade benefits.
AGOA provides eligible sub-Saharan African countries with preferential access to the US market for thousands of products.
The programme has been extended through December 31, 2028, following legislation signed by US President Donald Trump in September.
However, South Africa’s continued eligibility has come under scrutiny amid worsening relations between the two countries.
Washington has criticised several South African government policies and actions, while Pretoria has rejected allegations of discrimination against white South Africans.
Ramaphosa said his administration was engaging with US counterparts but acknowledged the need to prepare for a possible exclusion.
He and Deputy President Paul Mashatile have also been exploring opportunities to expand trade with other countries.
China is among the alternative markets being pursued. Beijing introduced a zero-tariff scheme for qualifying South African goods in May, providing Pretoria with another potential avenue for export growth.
