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SA shifts trade focus from US to India, China

South Africa is seeking to deepen trade relations with India, China and others as it faces a 30 per cent US tariff, Deputy President Paul Mashatile has said, stressing the importance of diplomatic engagement and continental solidarity through the G20.

News Arena Network - Cape Town - UPDATED: April 8, 2025, 10:28 AM - 2 min read

Representative image.


South Africa is seeking to expand its trade relations with India, China, and other nations as it faces a steep 30 per cent tariff imposed by US President Donald Trump, Deputy President Paul Mashatile said on Monday.

 

“The geopolitics at the moment really requires that we should be engaging other nations as well. We know that we are one of the US’s biggest trading partners, but there is nothing that says that we should not intensify our trade relations with India, China and other countries,” Mashatile told business and community leaders.

 

He was speaking at the inaugural breakfast hosted by the Ahmed Kathrada Foundation, named after the Indian-origin anti-apartheid activist and close associate of Nelson Mandela.

 

Mashatile said South Africa’s presidency of the G20 this year provided an opportunity to push for continental growth.

 

“Solidarity for us is very important. We should use the G20 to make sure that after our presidency, we can look back and say we were able to give not only to South Africa but to the continent,” he said.

 

“I’m hoping that with the G20, we will be able to work with other countries to ensure that we also strengthen solidarity and focus on economic development, not only of South Africa but the continent.”

 

He also underscored the importance of fully implementing the Africa Continental Free Trade Agreement. “Africa itself as a continent is a big market. We must begin to look as a country to where else can we begin to improve trade relations, people-to-people relations, but also to become self-reliant as a country.”

 

Mashatile said the European Union had expressed interest in enhanced cooperation with South Africa during a recent visit.

 

On the subject of US tariffs, the Deputy President clarified that there would be no retaliatory measures, despite strained relations between the two countries.

 

South Africa’s ties with Washington have deteriorated in recent months, particularly after the country brought charges of genocide against Israel at the International Criminal Court. In response, the US declared South African Ambassador Ebrahim Rasool persona non grata following his remarks about Trump.

 

“President Ramaphosa said let’s not rush, let’s engage; let’s use our diplomatic channels to engage with the US administration,” Mashatile said, adding that trade wars ultimately hurt consumers.

 

Trump’s administration had earlier halted aid to South Africa and imposed the 30 per cent tariffs in what analysts see as a broader push to pressure countries critical of US foreign policy.

 

Asked whether South Africa should consider a department akin to Elon Musk’s Government Efficiency Unit under the Trump presidency, Mashatile pointed to existing initiatives.

 

“It is true that in some areas of government we do find wastage. In some areas you find that departments are given money that they don’t spend on time, including local government, so Operation Vulindlela is meant to do the exact thing that Musk is trying to do in the US,” Mashatile said.

 

“We are looking at economic reforms, cutting red tape and looking at areas where there is wastage,” he added. This initiative reports directly to President Cyril Ramaphosa.

 

Mashatile also paid tribute to Kathrada, lauding his unwavering commitment to democracy. “Even when he came back from prison after many years, he did not go and stay home and say I’m retired. He went back into the trenches, making sure that our people should finally be free.”

 

He said the foundation must continue the dialogue on Kathrada’s legacy and his pursuit of non-racialism, gender equality and social justice.

 

 

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