South Africa has submitted a revised trade and investment proposal to the United States, aiming to improve diplomatic relations and boost economic cooperation. The updated trade framework was presented ahead of a scheduled meeting between South African President Cyril Ramaphosa and U.S. President Donald Trump in Washington, D.C.
Trade Minister Parks Tau confirmed that the proposal was handed over to U.S. Trade Representative Jamieson Greer. It includes several key focus areas:
- Liquefied Natural Gas (LNG): South Africa has shown interest in importing LNG from the U.S. to help address its domestic energy needs.
- African Growth and Opportunity Act (AGOA): The proposal highlights South Africa’s support for AGOA’s renewal and emphasizes a united African approach to trade with the U.S.
- Critical Minerals: South Africa pointed out that it supplies 12 key minerals to the U.S., offering potential for deeper trade in the mining sector.
- Digital Trade and Customs Union: The framework also covers digital trade and trade policy within the Southern African Customs Union (SACU).
The proposal promotes South Africa’s Equity Equivalence Programme, which allows foreign companies to contribute to local development through investment. Companies like Ford and Citibank are already participating, and South Africa is hoping to attract more global firms, including Tesla.
This move follows recent tensions between the two countries over land reform and other policy issues. President Ramaphosa’s visit, along with a high-level delegation, is seen as a step toward rebuilding trust and ensuring that trade remains strong between South Africa and the United States. Negotiations will continue in the coming weeks.
