South Africa downplays AGOA blow
Semafor · Tiisetso Motsoeneng ·
Washington said on Monday that Pretoria would be removed from the program that allows products to enter the US duty-free.
The News
South Africa moved to contain fears of major economic damage after the White House’s decision to exclude it from a US preferential trade program, saying its biggest mineral exports never relied on the duty-free program and the tariff increase on affected goods is manageable.
Washington announced plans this week to remove South Africa, along with Rwanda, from the African Growth and Opportunity Act from next year. South Africa’s fruit and nut exporters have benefited from the 26-year-old program that allows thousands of products from eligible sub-Saharan countries to enter the US market duty-free. The US, explaining its latest move, cited concerns ranging from barriers to American trade and investment to corruption and foreign policy. Farmers and exporters warned, however, that the wine and citrus sectors could face job losses as their products become less competitive