Hope for Trade Reset Following Ramaphosa’s Visit

President Cyril Ramaphosa’s official visit to Washington on 21 May 2025 took place amid strained political ties between the two countires. Early media coverage focused on the very public Oval Office encounter, where President Trump criticised some of South Africa’s more contentious domestic policies and race issues.

However, attention soon shifted to a more productive second meeting held in the Cabinet Room, which was described by all in attendance as both cooperative and forward-looking.

This shift marks a potentially important moment for US-South Africa trade relations. As South Africa’s second-largest trade partner, the US plays a critical role in the region’s economy. The visit laid the groundwork for reviving bilateral trade talks under President Trump’s new “America First Trade Policy.”

Key to the discussions were the “reciprocal tariffs” announced by President Trump in April 2025. These tariffs threaten the preferential access South Africa and 32 other Sub-Saharan countries currently enjoy under the African Growth and Opportunity Act (AGOA). If not resolved, this could significantly impact African exports to the US.

South Africa's delegation came well-prepared, proposing cooperation on US liquefied natural gas imports and committing to address non-tariff barriers (NTBs), digital trade, and critical mineral discussions. These proposals formed part of the broader “framework” being negotiated, which includes AGOA and considers the future role of the Southern African Customs Union (SACU). SACU’s common external tariff means any new terms must be agreed on collectively by the Union.

AGOA’s future is currently under review in the US Congress. South African officials, led by Minister Tau, are pushing for its reauthorisation, supported by a unified African ministerial cohort. This comes as Africa looks to deepen its own integration through the African Continental Free Trade Area (AfCFTA), a major initiative which is still in the early stages of implementation.

President Ramaphosa confirmed that President Trump will attend the G20 Leaders’ Summit in South Africa in November 2025, where the US will take over the G20 presidency. South Africa’s G20 agenda will focus on Africa’s development, with the strong backing of the African Union.

Going forward, detailed negotiations and institutional mechanisms will be essential to sustain momentum and ensure consistency. The outcome will likely need to be formalized in a legally binding agreement. The success of these efforts will be closely watched, both within Africa and globally.