30,000 South African jobs at risk due to U.S. tariffs

In Johannesburg, South Africa, officials have raised concerns about the potential impact of U.S. tariffs on the employment landscape within the country. An estimated 30,000 jobs are at risk as the U.S. prepares to implement a 30% tariff on most imports from South Africa, which is set to take effect shortly. The Department of Trade, Industry and Competition is actively consulting various sectors such as automotive and agriculture to assess the impact of these tariffs. The unemployment situation in South Africa is already concerning, with an official rate of 32.9% recorded in the first quarter of 2025. Youth unemployment has also shown a troubling increase, rising from 44.6% to 46.1% during the same period. In light of the new tariffs, President Cyril Ramaphosa has emphasized the need for the country to adapt quickly to avoid significant economic repercussions. He noted the government's ongoing efforts to engage with the U.S. to maintain favorable trade relationships while protecting local export industries. There has been a history of tension between the U.S. and South Africa, particularly with the Trump administration's criticisms of South Africa's government. This includes accusations regarding land laws perceived as discriminatory. Following the expulsion of Ebrahim Rasool, South Africa's ambassador to the U.S., negotiations over tariffs have become increasingly complicated. Despite the ongoing concerns, sectors accounting for 35% of the country’s exports to the U.S. are exempt from these tariffs. To mitigate potential impacts on the economy, the South African government is emphasizing the importance of diversifying its export markets. There are plans to deepen intra-African trade and explore new opportunities in countries across Asia and the Middle East, such as China and the United Arab Emirates. The establishment of an Export Support Desk aims to assist local manufacturers and exporters in finding alternative markets, though business leaders are calling for an established trade crisis committee to enhance coordination during this challenging time.