{"id":2219,"date":"2025-09-04T21:19:23","date_gmt":"2025-09-04T21:19:23","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/2219\/"},"modified":"2025-09-04T21:19:23","modified_gmt":"2025-09-04T21:19:23","slug":"trade-contrast-south-africa-shut-out-in-washington-welcomed-in-asia-and-beyond","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/2219\/","title":{"rendered":"Trade contrast: South Africa shut out in Washington, welcomed in Asia and beyond"},"content":{"rendered":"

\n From Tokyo to New Delhi, Moscow and Beijing, South Africa is being welcomed as a strategic gateway to Africa\u2019s billion-strong consumer base, positioning the country as an increasingly sought-after partner in international trade and investment.<\/a>\n <\/p>\n

\n South Africa\u2019s relationship with the United States has soured under President Trump, whose sweeping trade measures and policy stances have battered Pretoria\u2019s access to U.S. markets.\n <\/p>\n

\n In April 2025, Washington slapped South African exports with a 30% reciprocal tariff, the steepest in Sub-Saharan Africa which threatened major sectors like automotive, agriculture, and manufacturing.\n <\/p>\n

\n Business confidence has slumped, with export disruptions expected to cost tens of thousands of jobs and significantly slow GDP growth.\n <\/p>\n

\n Yet, amid this chill from Washington, South Africa is finding a warmer reception on the global stage.\n <\/p>\n

\"South <\/p>\n

\n Japan, Russia, and China have all taken steps in recent months to strengthen trade and investment ties with Pretoria, presenting alternatives that not only signal confidence in South Africa\u2019s economy but also highlight its strategic role as Africa\u2019s primary gateway market.\n <\/p>\n

Japanese confidence in South Africa<\/p>\n

\n On the sidelines of the 9th Tokyo International Conference on African Development (TICAD), South Africa hosted a high-level business forum to pitch itself as a leading destination for Japanese investment.\n <\/p>\n

\n Takafumi Suzuki, executive vice president of the Japan External Trade Organisation (JETRO), remarked that TICAD offers a chance to \u201ccreate and rebuild new relationships between Africa, South Africa, and Japan.\u201d\n <\/p>\n

\n Meanwhile, Toshi Imai, president and chief executive officer of Toyota Tsusho Corporation, hailed South Africa\u2019s automotive industry, noting the success of Toyota South Africa\u2019s first hybrid car launched in 2021, which has since become a best-seller across the continent.\n <\/p>\n

\n \u201cSouth Africa is so important for Toyota and Toyota South Africa is a brand for Africa. With the AfCFTA coming, cars produced in South Africa will go to the African continent. South Africa is a gateway for Africa,\u201d Imai affirmed.\n <\/p>\n

Moscow\u2019s deepening partnership<\/p>\n

\n South Africa has also moved to expand ties with Russia.\n <\/p>\n

\n In June, Deputy President Paul Mashatile led a high-level delegation of eight ministers and deputy ministers to Moscow, where he met Russian Prime Minister Mikhail Mishustin.\n <\/p>\n

\"South <\/p>\n

\n The talks centered on strengthening cooperation across trade, energy, agriculture, healthcare, logistics, and infrastructure.\n <\/p>\n

\n Mashatile highlighted South Africa\u2019s geographic advantage<\/a>, telling Russian officials: \u201cOnce you are in South Africa, you have access to a market of over one billion people across Africa. We want to invite Russian companies to partner with us, and we are also keen on collaboration with state-owned enterprises.\u201d\n <\/p>\n

\n The delegation pressed for infrastructure partnerships, with South Africa\u2019s state-owned logistics giant Transnet identified as a potential collaborator in port, rail, and freight upgrades.\n <\/p>\n

Beijing\u2019s agricultural opening<\/p>\n

\n China has likewise taken significant steps toward expanding trade <\/a>with Pretoria.\n <\/p>\n

\n During a recent working visit, South Africa\u2019s Agriculture Minister John Steenhuisen confirmed that Beijing had tabled a draft protocol for the export of five stone fruits: apricots, peaches, nectarines, plums, and prunes.\n <\/p>\n

\n \u201cThis is the first time that China has negotiated more than one product with us at a time,\u201d Steenhuisen explained, noting that China\u2019s past trade agreements usually focused narrowly on single commodities.\n <\/p>\n

\"South <\/p>\n

\n Steenhuisen said the agreement could \u201copen huge opportunities\u201d for South Africa\u2019s fruit industry, a critical export sector.\n <\/p>\n

\n By gaining access to China\u2019s vast consumer market, Pretoria strengthens its agricultural diversification strategy, offsetting the risks posed by tariff restrictions in Washington.\n <\/p>\n

BRICS Partnership<\/p>\n

\n South Africa\u2019s trade diplomacy also extends to its role in BRICS, where it is the only African member of the powerful economic bloc.\n <\/p>\n

\n Pretoria has consistently highlighted BRICS as a platform to strengthen trade, investment, and industrial cooperation with emerging economies outside the Western orbit.\n <\/p>\n

\n With the bloc\u2019s expansion in January to include Egypt, Ethiopia, Iran, Saudi Arabia, and the UAE, the new BRICS+ now represents nearly a quarter of global GDP, two-fifths of global trade, and almost half of the world\u2019s population, according to the Boston Consulting Group. Pretoria sees this as an opportunity to shift Africa\u2019s trade away<\/a> from raw commodities toward value-added goods, strengthening its place in emerging markets at a time when relations with Washington remain strained.\n <\/p>\n

Indian Firms Expand Presence in South Africa<\/p>\n

\n India is also reinforcing its economic footprint in South Africa. Bilateral trade between the two countries has climbed from $8 billion to $13 billion in five years, supported by rising exports of petroleum, pharmaceuticals, and automobiles.\n <\/p>\n

\n Indian companies have invested nearly $10\u202fbillion in South Africa, with more than 150 firms active across IT, mining, automobiles, and manufacturing.\n <\/p>\n

\n Automaker Tata Motors recently announced its return to South Africa\u2019s passenger vehicle market <\/a>through a partnership with Motus Holdings, while Mahindra has expanded its local operations. In services, firms like Infosys, Wipro, and TCS have also established strong presences.\n <\/p>\n

\"Indian <\/p>\n

\n Beyond corporate investments, the launch of the India\u2013South Africa Chamber of Commerce and EXIM Bank\u2019s new trade financing agreements are expected to accelerate cross-border deals.\n <\/p>\n

\n India\u2019s push underscores South Africa\u2019s role not just as a bilateral partner but also as a gateway to the wider African market.\n <\/p>\n

A pivot away from Washington?<\/p>\n

\n While President Trump\u2019s tariffs and tightened policies have complicated Pretoria\u2019s access to U.S. markets, Japan, Russia, and China have moved in the opposite direction, actively welcoming South Africa into their economies.\n <\/p>\n

\n For Pretoria, the message is clear: while Washington grows colder, other world powers are extending their hands, reshaping the global map of opportunity for Africa\u2019s most industrialised economy.\n <\/p>\n","protected":false},"excerpt":{"rendered":"From Tokyo to New Delhi, Moscow and Beijing, South Africa is being welcomed as a strategic gateway to…\n","protected":false},"author":2,"featured_media":2220,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[138,219,111,139,69],"class_list":["post-2219","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-new-zealand","tag-newzealand","tag-nz"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/2219","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=2219"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/2219\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/2220"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=2219"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=2219"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=2219"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}