By Lehlohonolo Lehana.
President Cyril Ramaphosa says the government is continuing engagements with the US to secure a mutually beneficial trade and investment deal.
South Africa was hit with a 30% tariff on all goods entering the United States.
Speaking in Parliament during a question and answer session on Tuesday, 9 September, Ramaphosa said the government was adopting a strategy of engagement.
Ramaphosa said the Presidency and the Department of Trade, Industry and Competition had sent representatives “who are currently in the United States, who are preparing for the further formal negotiations with the United States government, which will be taking place in just a few days.”
He said they were meeting with stakeholders, including “the administration, legislators, business people and a whole number of other people, in both New York and Washington”.
Ramaphosa did mention that Minister of Trade and Industry and Competition Parks Tau and International Relations and Cooperation Minister Ronald Lamola would join the delegation. The President will attend the United Nations General Assembly, which begins in New York this week.
During the parliamentary session on Tuesday, Economic Freedom Fighters (EFF) leader Julius Malema said South Africa’s approach to negotiations with the US had been “that of appeasement and almost tantamount to begging”.
In response, Ramaphosa said, “Without being supplicant, without going on bended knee, which we have never done, and which we will never do, we will stand as a sovereign country and get the best deal for South Africa.
Ramaphosa added, that retaliatory measures could backfire, saying, “If one wants to play to the gallery, one could embark on the type of option that honourable Malema is talking about without knowing what outcome that option will have.”
The president said his ministers were “”feverishly working the ground” in the US ahead of the next round of trade negotiations while also broadening South Africa’s export markets in Latin America, Asia and the Middle East.
“We will stand as a sovereign country,” Ramaphosa emphasised, saying the government remained committed to securing favourable trade terms without compromising the country’s dignity.
South Africa is set to host the G20 heads of state summit in November, a key platform for international trade discussions, although Trump has already announced he would not attend, sending his deputy JD Vance instead.
Ramaphosa also addressed questions about the establishment of a state bank, reiterating that the Postbank was not yet in a position to receive a licence.
Responding to ANC chief whip Mdumiseni Ntuli, he said the struggling entity still faced “serious governance challenges” and compliance hurdles.
“Now, according to the minister, the Postbank has not yet fully met the conditions for a banking licence, particularly around its card and key management processes and the compliance with prudential standards that are required,” Ramaphosa told MPs.
He added that the immediate challenge was to stabilise the bank’s finances and strengthen governance.
Ramaphosa also weighed in on last month’s national convention — a precursor to the National Dialogue on the country’s problems — saying it had been a “great success” despite withdrawals by several legacy foundations from participating and concerns over its R740 million price tag.
“This is not the president’s dialogue. The people of South Africa called for the dialogue,” Ramaphosa told the assembly, saying the process should be citizen-led.
He said he had personally instructed that the costs be reduced and that the government would adopt a hands-off approach.
“Moving forward, the steering committee would take its lead from civil society, and the government’s only involvement would be to provide the money.”
Ramaphosa said it would not have been “prudent” to stop the convention because planning was already too advanced, adding that the decision to proceed was a collective one.
Watch Live in the video below:
Video Courtesy of Parliament.