South Africa Seeks Closer Trade Ties with China as U.S. Tariffs Bite
JOHANNESBURG, Feb 5 (Reuters) – South African Trade and Industry Minister Parks Tau will embark on a crucial visit to China from Thursday to Saturday, his office confirmed. The centerpiece of the trip is the signing of the enhanced China-Africa Economic and Trade Cooperation Agreement, a move poised to grant a wide range of South African goods duty-free entry into the world's second-largest economy.
The push for deeper integration with Beijing comes as Pretoria navigates a tense trade dispute with the United States. In August, the Trump administration slapped a 30% tariff on South African steel and aluminum exports – the highest rate imposed on any nation in Sub-Saharan Africa. With China being South Africa's largest trading partner and the U.S. its second, the diversification of export markets has become an urgent economic priority.
"Minister Tau's mission aligns with our strategic objective to expand market access and stimulate export-led growth, particularly in the current global trade climate," a ministry spokesperson stated on Thursday.
Beyond the agreement signing, Tau's itinerary includes meetings with senior Chinese officials and executives from companies eyeing investment opportunities in South Africa's manufacturing and renewable energy sectors. Analysts suggest the visit could signal a subtle but significant rebalancing of South Africa's trade dependencies.
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David Nkosi, Economist, Cape Town: "This is a pragmatic and necessary shift. Over-reliance on any single market is risky. The China agreement could open doors for our citrus, wine, and automotive components industries, which have been hit by the U.S. tariffs."
Lindiwe Mbeki, Trade Policy Analyst, Johannesburg: "While market diversification is sound in theory, we must proceed with clear eyes. We need to ensure this deal benefits our local industries and doesn't simply turn us into a resource appendage. The details on rules of origin and value-addition will be critical."
James van der Merwe, Small Business Owner, Durban: "Finally! Someone is doing something about these American tariffs that are killing my export business. If China buys our products duty-free, it's a lifeline. We should have deepened ties with the East years ago instead of bending over backwards for a volatile Washington."
Priya Singh, Lecturer in International Relations, Pretoria: "This is a classic geopolitical pivot. The U.S. tariffs have provided the impetus, but the long-term strategic alignment with China and other BRICS nations has been underway. Tau's visit is less a reaction and more an acceleration of an existing trajectory."
(Reporting by Anathi Madubela; Editing and additional reporting by Alexander Winning and the Reuters Africa bureau)