By: Saneliso Mlambo
The United States has imposed a new 12.5% tariff on most South African exports as President Donald Trump expands his administration’s trade measures targeting 60 countries. The tariffs took effect on Friday under Section 301 of the US Trade Act of 1974, replacing an earlier temporary 10% global tariff after the US Supreme Court struck down Trump’s previous emergency tariff regime.
The move places South Africa in the highest tariff tier alongside dozens of other economies that Washington says have failed to effectively prohibit imports produced with forced labour. The Trump administration argues the measures are intended to protect American workers and strengthen global enforcement against forced labour in supply chains.
According to the Office of the United States Trade Representative (USTR), the decision follows months of investigations, consultations with affected governments, public hearings and more than 1,600 public submissions. US Trade Representative Jamieson Greer said the administration believes stronger trade action is necessary because many trading partners have not done enough to stop goods produced with forced labour from entering global markets.
South Africa had argued that its existing labour and customs legislation already provides a legal framework to prevent the importation of goods produced with forced labour. Pretoria also pointed to its ratification of core International Labour Organization conventions and its enforcement mechanisms. Despite those submissions, the US proceeded without granting an exemption.
The new tariff is expected to affect several of South Africa’s major export sectors, including automotive manufacturing, agriculture, metals and other manufactured goods. However, some products already covered by separate US trade measures, including certain steel, aluminium, energy products and fertilisers, are excluded from the additional 12.5% levy.
The tariff is expected to have implications for South African exporters that rely on the US market. The South African government is expected to assess the impact and consider its response.