US-Africa trade: South Africa 'ready' for any outcome on AGOA future

South Africa said Thursday it hopes for a favourable decision from Washington next week on its inclusion in a key US-Africa trade deal, arguing that continued access would be in the best interests of both countries.

Pretoria is braced for the possibility of being removed from Washington's duty-free trade programme for Africa, the African Growth and Opportunity Act (AGOA), which has been extended to December 2028 and is reviewed annually.

"We are ready, whatever the decision," trade minister Parks Tau told reporters in Johannesburg after a meeting with the country's social dialogue forum, ahead of the outcome on November 2.

Relations have deteriorated since President Donald Trump took office, with Washington cutting aid and engaging with President Cyril Ramaphosa in the Oval Office over discredited claims of a "white genocide".

‘Generous offers’

But Tau said the government was "confident" the US government will "acknowledge, recognise and favourably respond to the very generous offers that SA has made during our ongoing negotiations over the last year or so".

This, he said, was in the "best interest of our two nations -– the US and SA as well as of partners in the African continent".

South Africa is the scheme's largest beneficiary, but its eligibility has come under scrutiny as Washington steps up criticism of Pretoria, including false allegations of discrimination against white Afrikaners that South Africa rejects.

Last year, the United States launched a programme to resettle white Afrikaners who say they face persecution and violent crime in South Africa.

Refugee programme

By September 30, the United States had admitted 16,287 South Africans under the programme over the preceding year. They were the only people granted refugee status by Washington during that period, apart from five Afghans.

The US president reviews countries' eligibility for AGOA annually.

Any removal requires 60 days' notice to Congress and the country concerned. To take effect on January 1, an exclusion must be announced by November 2.

Tau said South Africa had "engaged constructively" on all concerns raised by Washington but added that "some principles are not up for negotiation".

He added that Pretoria remained open to practical arrangements aimed at boosting trade and investment between the two countries.

Tau said the US remained the country's valued partner with more than 600 American companies operating in South Africa supporting around 134,600 jobs.

Whatever the outcome on Monday, South Africa's economy will remain stable, said Tau, as the country explores other markets.