SACCUSA Expresses Concern Over U.S. President’s Comments on South Africa and Potential AGOA Impact

SACCUSA Expresses Concern Over U.S. President’s Comments on South Africa and Potential AGOA Impact

Washington D.C. – The South African Chamber of Commerce in the USA (SACCUSA) expresses deep concern over the possible impact on South African business after recent statements made by U.S. President Donald Trump regarding the country. President Trump posted on X that "certain classes of people" are being treated "very badly" and the suggestion that U.S. funding to South Africa may be cut raises serious concerns for the South African business community, particularly in light of the longstanding economic and trade relationship between the two nations.

The U.S. is one of South Africa’s most significant trade partners, with the African Growth and Opportunity Act (AGOA) playing a crucial role in facilitating trade between the two economies. South Africa exported over $6.5 billion worth of goods to the U.S. under AGOA in 2024, supporting key industries such as automotive manufacturing, agriculture, and mining. The potential revocation of AGOA benefits would significantly impact South African businesses, leading to job losses and economic instability.

South Africa’s continued eligibility under AGOA is critical to sustaining bilateral trade, supporting thousands of jobs, and fostering economic development. Any deterioration in relations, particularly involving economic assistance and trade agreements, could have widespread implications for both South African and American businesses.

While South Africa and the U.S. remains committed to constructive engagement as international partners, SACCUSA urges all stakeholders to continue diplomatic engagement and ensure that policy discussions are based on finding amicable solutions. The South African government has previously addressed similar claims, highlighting that land reform efforts are carried out within the framework of the law and the country’s constitutional commitments.

The United States obligated nearly $440 million in assistance to South Africa in 2024, supporting various economic, healthcare, and social initiatives. Any potential withdrawal of this support, along with threats to review trade agreements such as AGOA, could significantly impact critical sectors and communities reliant on these partnerships.

As South Africa holds the G20 presidency before the United States assumes the role, SACCUSA emphasizes the need for diplomacy and constructive dialogue to strengthen economic ties and address concerns through appropriate channels. We encourage South Africa to pursue diplomatic solutions to prevent any unexpected action from the White House that could negatively impact trade and investment relations.

SACCUSA remains committed to advocating for the interests of South African businesses in the United States and fostering a strong, mutually beneficial trade relationship between the two nations. We call on business leaders, policymakers, and diplomatic representatives to engage in fact-based discussions that support long-term economic stability and collaboration.

For media inquiries, please contact: Neil Diamond, SACCUSA President, neild@sachamberusa.com

About SACCUSA:The South African Chamber of Commerce in the USA (SACCUSA) is dedicated to fostering trade, investment, and business relationships between South Africa and the United States. Through advocacy, networking, and strategic partnerships, SACCUSA supports businesses in navigating the transatlantic economic landscape to drive sustainable growth and development.