South Africa secured investments from China and India to boost its car manufacturing in a bid to salvage one of the industries hardest hit by Washington’s steep tariffs.
US President Donald Trump imposed 30% levies on South African goods over what he claims are laws that discriminate against white South Africans. The rates have pummeled the auto sector, with US-bound exports dropping 90% in the second quarter compared to the previous year. Pretoria warned the sweeping tariffs could cost Africa’s most industrialized economy as many as 100,000 jobs.
Meanwhile, analysts warn that Washington’s levies, as well as the expiry of a sub-Saharan Africa-US free trade deal, will push African nations even closer to Beijing’s sphere of influence.
