POLITICS

Rather punish individuals threatening relationship with USA – Solidarity

Movement says if the trade opportunities we currently enjoy have to fall away, South Africa will lose its competitive benefit

Rather punish individuals threatening relationship with USA – Solidarity

11 July 2024

The USA should much rather focus on individuals in the South African government than on making all South Africans pay for the senseless actions of officials.

This was Solidarity’s plea tfo decisionmakers in the USA after the American Congress took a majority vote that diplomatic relations between the USA and South Africa should be reconsidered in their entirety.

According to Theuns du Buisson, economic researcher at the Solidarity Research Institute (SRI), the latest news about the opinions in the Congress is extremely worrying.

“That South Africa’s second largest trade partner really wants to review its continued relationship with us, is reason enough to become worried.

“Solidarity has already called on the American government in the past to punish those in our government who are hostile towards the USA rather than to prejudice the people of the country.

“We certainly still stand by this position,” Du Buisson said.

Du Buisson pointed out that on 27 June he also made a presentation on behalf of the SRI to the USA’s committee on the review of AGOA eligibility.

“In the presentation we argued for South Africa’s continued inclusion in AGOA. After all, around 30 000 of our members work in sectors that benefit from AGOA, and many of their jobs depend directly on the favourable trade benefits offered by AGOA. 

“It would be a huge blow if South Africa loses these benefits. If the trade opportunities we currently enjoy have to fall away, South Africa will lose its competitive benefit, especially in the automotive industry. 

“This is due to the fact that many vehicles destined for the US market are indeed manufactured in South Africa,” Du Buisson said.

He also emphasised that many of the sectors that would be affected by such a decision provide jobs particularly in rural areas  where major economic activity is otherwise lacking. 

According to Du Buisson, it is clear how the lifeline of entire communities can be cut off by such a decline in trade with the USA.

Issued by Theuns du Buisson, Economic Researcher: Solidarity Research Institute, 11 July 2024