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US President Donald Trump’s 30 per cent tariff on all South African exports, announced on Thursday, is set to come into effect on 7 August.
South Africa’s President Cyril Ramaphosa said he was still hopeful of a trade deal with the United States. US President Donald Trump’s 30 per cent tariff on all South African exports, announced on Thursday, are set to come into effect on 7 August.
With the US its second-biggest trading partner, Trump’s decision is a huge blow to South Africa. Ramaphosa said “intensive negotiations” with Washington were underway and that a mutually beneficial trade package had been put on the table.
South Africa’s agricultural and automotive industries are expected to be among the hardest hit, with widespread job losses expected. The country already has an unemployment rate of more than 32 per cent, one of the highest in the world.
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South Africa’s government has said it is finalising a package to support companies that will be affected by the new tariff on its exports. Anticipating the imminent hike, the country’s central bank has revised the annual growth forecast from 1.2 percent to 1 percent.
