South Africa's Ramaphosa Critiques Trump's New Tariffs - PRESS AI WORLD
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South Africa's Ramaphosa Critiques Trump's New Tariffs

share-iconPublished: Tuesday, July 08 share-iconUpdated: Tuesday, July 08 comment-icon4 months ago
South Africa's Ramaphosa Critiques Trump's New Tariffs

Credited from: AFRICANEWS

  • President Ramaphosa criticizes Trump's imposition of a 30% tariff on South African imports.
  • Ramaphosa contends the tariff rate misrepresents actual trade balance data.
  • Trump claims the tariffs reflect a need to adjust trade dynamics between the U.S. and South Africa.
  • South Africa aims for a mutually beneficial trade relationship via ongoing diplomatic negotiations.
  • The implementation of tariffs is set for August 1, 2025, following letters sent to 14 countries.

South African President Cyril Ramaphosa has denounced the Trump administration's decision to impose a 30% reciprocal tariff on South African imports, calling it a "unilateral imposition." This tariff is set to take effect on August 1, 2025, a move President Trump justifies by claiming that the U.S. trade relationship with South Africa has been "far from reciprocal." Ramaphosa contested this assertion, highlighting that the average tariff rate on imported goods into South Africa is only 7.6% and emphasizing that significantly more than half of the U.S. goods enter South Africa duty-free, according to Newsweek and BBC.

In a detailed response, Ramaphosa argued that the figures presented by Trump's administration do not reflect the reality of trade data. He stated, "This 30% tariff is based on a particular interpretation of the balance of trade between South Africa and the United States." Furthermore, he emphasized that over half of South African imports from the U.S. are untaxed, reinforcing his position against the tariff, according to Africanews.

President Trump, in his correspondence with Ramaphosa, suggested the tariff could be adjusted depending on South Africa's response to U.S. trade policies. He expressed the intent to shift longstanding trade deficits, urging South Africa to eliminate its tariffs and trade barriers for a re-evaluation of the imposed rates. However, Ramaphosa maintained that South Africa would pursue diplomatic negotiations aiming for a "more balanced and mutually beneficial trade relationship" with the U.S., according to BBC and Africanews.

The ramifications of this tariff decision are significant considering the U.S. holds the position of being South Africa's second-largest trading partner, impacting various sectors including agriculture and automobiles, which previously benefited from duty-free access to the U.S. market. Ramaphosa's administration views the new tariffs as detrimental to economic relations while emphasizing the need for resilience and diversification within South Africa's economy against such international pressures, according to Newsweek, BBC, and Africanews.

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