Ramaphosa promises relief measures as US tariffs hit SA

August 1, 2025 108

President Cyril Ramaphosa says the government will introduce supportive measures to assist companies affected by the 30% tariff imposed by the United States (US).

Speaking on the sidelines of Acting Police Minister, Professor Firoz Cachalia’s, swearing-in ceremony, President Ramaphosa emphasized that Pretoria is engaged in extensive negotiations with Washington.

Trade and Industry Minister, Parks Tau, has warned that the tariffs pose a serious threat to export-heavy sectors, including automotive, agro-processing, steel, and chemicals industries.

Ramaphosa says there are other interventions they are working on to lessen the blow.

“Our objective really is to save jobs. We want to preserve the jobs of those companies that are going to be adversely affected. We’ve got a two-pronged approach, the first is to negotiate as hard as we can with the US on a global and sectoral level. The second approach is to assist the companies that are affected,” said Ramaphosa.

Ramaphosa says he hopes South Africa will be able to strike a sufficient deal with the United States, to ease the impact of the new tariffs.

Ramaphosa promises relief measures as US tariffs hit SA Lindiwe Mpanza

Economist, Dawie Roodt, has warned that the tariffs will have a devastating impact on the South African economy.

Roodt says the tariffs will most likely shed off 2% of the country’s economic growth.

“We already have high levels of unemployment, very weak economic growth, so everybody should be concerned about this,” lamented Roodt.

Roodt labelled the tariffs as a nail in the coffin, for the country’s economy.

Ramaphosa promises relief measures as US tariffs hit SA Lindiwe Mpanza

Engineering expert, Dr Andrew Dickson, says the solution lies in policy action, consumer behaviour, and local procurement.

He says South Africa’s already fragile manufacturing sector faces a potential crisis threatening export access, thousands of jobs, and long-term industrial stability.

“The 30% tariffs mean that for local manufacturers in the US markets, it’s gonna put pressure on margins and the viability of businesses and the ability to operate effectively,” said Dickson.