By Lehlohonolo Lehana.
President Cyril Ramaphosa has concluded a working visit to the White House on Wednesday, where he held high-level discussions centred on trade, geopolitical cooperation, and the promotion of South Africa’s image on the global stage.
Ramaphosa expressed optimism about strengthened economic ties between South Africa and the United States following high-level discussions.
Ramaphosa said he expects US president Donald Trump to come to South Africa.
“My takeaway from that is that G20 participation by the United States is going to be happening. So I’m particularly pleased with that.”
Ramaphosa also highlighted the value of US involvement in global forums.
“Having realised the important role that the United States continues to play in international or multilateral formations, organisations like the G7 and the G20, he [Trump] said, of course, the G7 would be much more impactful with the participation of the United States, just as the G20 would be more effective on global matters with the participation of the largest economy in the world.”
Ramaphosa also welcomed ongoing US investment in South Africa, citing a recent example: “Dtci minister Parks Tau explained that one of the US companies has invested in a lithium operation in our country, which shows a positive disposition toward South Africa.”
Furthermore, Ramaphosa stressed the importance of continued engagement to build confidence and attract more US businesses:
“We want to keep the jobs that have been created by U.S. companies, and we want more and more US companies to come and invest.”
“One of the key confidence-building mechanisms is the ongoing engagement on investments, tariffs, the creation of a favourable investment climate in South Africa, our access to the American market, and continued discussions around AGOA, which will now proceed much more determinedly going forward.
Tau emphasised the importance of AGOA to South Africa, and noted that African trade ministers have agreed to develop a collective approach to engage the U.S. on the future of the agreement. A detailed South African proposition is expected to be presented at the upcoming U.S.-Africa Forum.
“The feedback we received in our engagements on Monday with regards to AGOA was that this is a matter that currently is in Congress, so it would be important for us to follow up in Congress with regards to the reauthorisation of AGOA.
“Having met with the trade ministers in Africa at the recent Africa Continental Free Trade Area Council of Ministers, we have agreed to develop a collective approach with regards to AGOA, and the U.S. has also indicated that they would be convening a U.S.-Africa Forum, where we intend to present in detail our proposition on AGOA but as South Africa, we have it in our document that the reauthorisation of AGOA is important,” Tau said.
In addition to AGOA, the proposal covers several strategic areas, including:
- The Southern African Customs Union (SACU): The document clarifies tariff and non-tariff issues, given that South Africa negotiates trade terms as part of this customs union.
- Digital Trade: Provisions were included to reflect the growing importance of the digital economy.
- Critical Minerals: South Africa is currently a key supplier of 12 of the USA’s listed critical minerals, with nine of those sourced primarily from South Africa. The Minister pointed to a recent transaction involving ASP Isotopes and a South African company for helium beneficiation, signalling growing U.S. investor appetite in this sector.
“Of the USA’s list of critical minerals, we supply 12 of those critical minerals to the U.S. market. We are the main provider of nine of those 12 critical minerals to the U.S. market, so they are an important partner with regards to critical minerals,” Tau said.
The South African delegation also expressed appreciation to the USTR for their participation in the recent G20 Trade and Investment Working Group hosted in the Western Cape.
Tau reaffirmed the country’s commitment to placing trade at the center of G20 deliberations and extended invitations to U.S. counterparts for future engagements.