Ramaphosa tells South Africa to prepare for loss of US-Africa trade deal

South African President Cyril Ramaphosa said on Monday the country should “prepare” for the possibility of being removed from Washington’s duty-free trade programme for Africa, as ties between the two nations continue to fray.

The African Growth and Opportunity Act (AGOA), which grants eligible sub-Saharan African countries preferential access to the US market, has been renewed until the end of 2028.

South Africa is the scheme’s largest beneficiary but its eligibility has come under scrutiny as Washington steps up criticism of Pretoria, including false allegations of discrimination against white Afrikaners that South Africa rejects.

“Congress has decided that we should be kept in AGOA. What now remains is the executive,” Ramaphosa said, referring to the pact now needing President Donald Trump’s signature after approval by Congress.

“And by the way, so that I prepare our people for this, if we ever have a choice, we are not the first and only country to be taken out of AGOA. And I believe we will not be the last,” he added, admitting that such an outcome would be “devastating” for the economy.

South Africa is going to look for alternative markets to minimise the impacts of such an exclusion, Ramaphosa said.

Within AGOA, Washington exempts South African cars from customs duties. After precious metals, cars are the country’s second-biggest export earner to the United States. In 2025, the automobile employers’ organisation Naamsa said 86,000 jobs were directly tied to the accord at car manufacturers, a number that increases to 125,000 when including their sub-contractors.