South African officials have questioned the calculations used by the United States (US) to justify the double-digit tariffs imposed on South African exports.
This week, US President Donald Trump announced sweeping tariffs on global trade partners, arguing that the move was necessary to balance trade deficits. South Africa was among the countries hit with tariffs exceeding the standard 10% baseline.
On Friday, Trade and Industry Minister Parks Tau and International Relations Minister Ronald Lamola held a joint press conference in Midrand to address the global developments.
Nearly 48 hours after the US implemented the tariffs, even on regions without significant trade activity—economists analysed the methodology behind the decision. Their findings suggest that the formula used involves dividing the US trade deficit with a country by that country’s exports to the US, with a 50% reduction applied.
However, Minister Lamola expressed concern over the accuracy of these calculations, pointing out that South Africa’s average tariff rate is 7.6%. He emphasised the need for clarification on why the US has imposed a significantly higher tariff of 31% on South African goods.
While government officials warn that preferential trade agreements such as the Africa Growth and Opportunity Act (AGOA) could be undermined by these tariffs, certain products such as copper, pharmaceuticals, semiconductors, and some critical minerals, remain exempt.
South African trade representatives had initially planned to meet with US officials to discuss other trade matters but have postponed the engagement until there is greater clarity on the latest developments.
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