South Africa is scrambling to finalize an “enhanced” trade proposal before a looming deadline, hoping to stave off a 30% tariff imposed by the United States set to take effect on Friday. The stakes are high, with the country’s trade minister warning that failure to reach a deal could threaten up to 100,000 jobs.
Speaking on Thursday, Trade Minister Parks Tau confirmed that South African negotiators are under pressure from U.S. officials to present a revised offer, despite earlier submissions in May and June going unanswered by Washington.
“We’re having to navigate a last-minute proposal that’s enhanced from the proposal that we had initially given. And to tell the truth, it’s wait and see.”
Trade Minister Parks Tau
According to Tau, fresh discussions were held on Wednesday night with both U.S. Embassy officials in Pretoria and representatives from the U.S. Trade Representative’s Office. Tau said U.S. officials “encouraged us to resubmit our proposal, possibly an enhanced proposal, to the United States government.”
The potential 30% tariff has caused deep anxiety in South Africa, particularly in the agriculture and automotive industries. South African Reserve Bank estimates indicate such a move could result in tens of thousands of job losses. The United States is South Africa’s second-largest bilateral trade partner after China, with key exports including cars, citrus, wine, and manufactured goods.
Diplomatic Relations On A Knife’s Edge
Tensions in the broader U.S.-South Africa relationship have steadily worsened in recent years, marking one of the lowest points since the end of apartheid. Once seen as close partners in areas ranging from defense to public health, the two countries are now divided by sharp ideological and geopolitical rifts.
Trade is not the only source of friction. A senior South African diplomat noted that U.S. criticism of South Africa’s affirmative-action measures, particularly its Black Economic Empowerment (BEE) policy, has made negotiations more difficult. BEE was designed to address generations of racial inequality, but U.S. lawmakers have raised concerns over its perceived exclusionary impact on minority groups.
Another major sticking point is South Africa’s decision to pursue a genocide case against Israel at the International Court of Justice. The case has drawn fierce objections from both Israel and the United States.
Strains escalated further after President Donald Trump signed an executive order during his first term that allowed Afrikaners and other White South Africans to apply for asylum in the U.S., citing land reform efforts as justification. The move triggered anger in Pretoria, where it was seen as racially inflammatory. Since then, nearly 70,000 South Africans have sought entry into the U.S. under the program, further eroding trust.
In March 2025, tensions reached a boiling point when South African Ambassador Ebrahim Rasool was expelled from the U.S. following remarks critical of the Trump administration’s racial stance. U.S. officials accused Rasool of “race-baiting,” a charge that added fuel to an already volatile diplomatic fire.
The situation has been compounded by legislative action from the U.S. House Foreign Affairs Committee, which passed a resolution calling for a reassessment of U.S.-South Africa ties. Citing deepening South African relations with China, Russia, and Iran, along with domestic concerns over corruption and illicit finance, the legislation includes provisions for sanctions targeting South African officials.
President Cyril Ramaphosa has made efforts to reverse course, pushing for restored trade preferences and normalized diplomatic relations. However, with key ideological divisions unresolved, there remains considerable uncertainty about whether a long-term solution is achievable.
As Friday’s tariff deadline looms, all eyes are on Washington’s response to Pretoria’s latest offer. With economic and political implications on both sides of the Atlantic, the outcome could reshape U.S.-South Africa relations for years to come.
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