By Rosina Shiko
Major trade union federations have differed over whether the Democrats’ victory in the US midterm elections will improve relations with Pretoria and protect workers threatened by President Donald Trump’s trade and foreign policies.
The South African Federation of Trade Unions (SAFTU) has welcomed the Republican Party’s loss of control of both chambers of Congress, while the Congress of South African Trade Unions (COSATU) cautioned against expecting significant changes in Washington’s approach to South Africa.
The Federation of Unions of South Africa (FEDUSA) said the outcome was an opportunity to strengthen trade relations.
Democrats secured majorities in both the House of Representatives and Senate in Tuesday’s elections, capitalising on voter dissatisfaction with the cost of living, Trump’s economic policies and the war against Iran.
Democrats gained at least 30 seats in the House and secured a Senate majority of at least 54 seats, dealing Trump one of the most significant political setbacks of his second presidency.
The incoming Congress will take office in January 2027, giving Democrats greater powers to investigate the administration, challenge its legislative agenda and scrutinise its spending decisions.
However, Trump will remain president, retaining substantial executive authority and the power to veto legislation.
In a statement issued on Thursday, SAFTU general secretary Zwelinzima Vavi said the election result was a rejection of policies that concentrated power in the presidency, weakened constitutional checks and balances and placed a disproportionate burden on working people.
The federation accused Republican lawmakers of failing to hold Trump accountable for military action against Iran, cuts to social programmes and attacks on collective bargaining rights.
It also called on the incoming Congress to oppose the administration’s decision to terminate South Africa and Rwanda’s eligibility for preferential trade benefits under the African Growth and Opportunity Act (AGOA).
On 2 November, US Trade Representative Jamieson Greer announced that Trump had notified Congress and the two governments of his intention to terminate their AGOA eligibility from 1 January 2027.
AGOA allows qualifying sub-Saharan African countries duty-free access to the American market for thousands of eligible products.
The Trump administration cited “barriers to US trade and investment”, “corruption” and national security and foreign policy concerns in its decision concerning South Africa.
The termination has raised concerns about employment and investment in export-dependent industries, particularly those supplying the American market.
SAFTU sees opportunity for change
Speaking to Inside Politics, SAFTU national spokesperson Newton Masuku said developments in the US had consequences far beyond its borders because of the country’s influence over the global economy.
“When Washington sneezes, when Wall Street sneezes, the entire world catches a cold,” Masuku said. “Therefore the electoral outcomes have a direct bearing not only on the immediate interests of the working class of the US, but also the globe as a whole.”
He accused the Trump administration of pursuing aggressive trade policies, imposing unjustifiable tariffs and creating instability in international markets.
Masuku also linked Washington’s decision on AGOA to South Africa’s position on Israel’s military campaign in Gaza, saying that the administration was seeking to punish Pretoria for its stance.
Masuku said SAFTU had anticipated that American voters would punish Republicans for policies that increased living costs and undermined international stability.
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He described Trumpism as a political phenomenon characterised by racism, sexism and imperialism, and said its weakening would be welcomed by workers internationally.
The federation also criticised Trump’s military campaign against Iran, saying that it had contributed to higher fuel costs and increased pressure on households.
The US-Israeli war against Iran has become a major political liability for Trump, with Democratic candidates blaming the conflict for rising energy prices and cost-of-living pressure.
Trump himself acknowledged after the election that the war had contributed to Republican losses, although he defended his decision to launch military action.
Congress had already challenged the administration’s conduct of the conflict. In June, the House and Senate approved a War Powers Resolution directing the withdrawal of American forces from hostilities against Iran.
The Senate approved the measure by 50 votes to 48, after it had passed the House earlier that month.
The resolution’s legal enforceability remained disputed, with the White House rejecting its significance.
SAFTU said the incoming Congress should press for an end to the conflict and pursue a diplomatic settlement.
Asked what action the federation intended taking beyond issuing statements, Masuku said coordinated mobilisation would be necessary, including engagement with other labour federations such as COSATU, FEDUSA and the National Council of Trade Unions (NACTU).
“There will indeed be campaigns to protest precisely that and to urge in particular the American working class to put pressure on their administration to indeed cease and desist from this particular war,” Masuku said.
He rejected criticism that SAFTU was paying too much attention to international affairs while South African workers faced unemployment, retrenchments and wage disputes.
Masuku pointed to the federation’s opposition to domestic austerity measures, its response to the Medium Term Budget Policy Statement and its engagement with the Department of Trade, Industry and Competition over the threatened loss of AGOA benefits.
He said SAFTU’s National Executive Committee would determine whether further protests should take place before the end of the year or be deferred until early 2027.
COSATU warns against expectations of policy change
COSATU said that Democratic control of Congress would not necessarily translate into a change in America’s relationship with South Africa.
“US foreign policy is determined by the Executive, which has been very clear about its views on South Africa. For this reason, we do not expect any shift in the US’ stance on South Africa,” COSATU spokesperson Zanele Sabela told Inside Politics.
Although Democrats will be able to exercise greater oversight and influence legislation, the president will retain considerable authority over diplomatic relations, executive actions and the implementation of trade policy under existing laws.
READ| Democrats seize Congress in sweeping midterm repudiation of Trump
The balance of power is expected to complicate Trump’s domestic agenda, but significant changes to US trade and foreign policy may still require negotiations between Congress and the administration.
FEDUSA welcomes opening for trade negotiations
FEDUSA deputy general secretary Ashley Benjamin said the Democratic victory was a positive development for international stability and trade relations.
“We think it’s just a step in the right direction. It’s good for world peace and stability because the actions of Donald Trump and his Republicans has caused a lot of instability in the world, in particular the war with Iran,” Benjamin said.
He said the federation was concerned about the possible effect of South Africa’s exclusion from AGOA, although the consequences would differ across industries.
“While there may be jobs at stake, we must also understand that our exports, South Africa’s total exports through AGOA account for one percent of exports. So if you look at percentage terms, it’s not a big deal,” he said.
But Benjamin said that the effect on individual industries and workers remained important, regardless of the overall share of national exports.
“We are concerned about jobs. We are concerned about industrial development and remember there’s a number of products that’s excluded from that as well. It’s not all the products,” he said.
He said American trade restrictions had affected industries internationally, particularly through Section 232 measures imposed on steel and other products.
Some South African companies had already responded to trade uncertainty by diversifying their markets.
Benjamin said that stronger Democratic representation in Congress could improve opportunities for engagement with American policymakers and trade unions.
FEDUSA maintained relationships with US labour organisations and intended using those connections to support South African jobs and trade.
“We see that as a window of opportunity and we certainly have very good relationships with the American trade unions,” Benjamin said.
He also pointed to the commercial relationship between the two countries, saying more than 600 American companies operated in South Africa and provided employment to more than 100,000 people.
The federation believes the commercial interests of both countries provide grounds for continued negotiations despite political disagreements.
“So they are here because it’s profitable and there’s a mutually beneficial relationship,” Benjamin said.
Fuel prices put pressure on workers
Benjamin said rising energy costs were placing considerable strain on workers, including those who relied on private vehicles to travel to work.
“It places a huge burden on working people whether you’re a blue collar worker working in industry, or whether you’re a public servant that is relying on their private vehicles to commute to work and back, it is taxing on South Africa,” he said.
South Africa has experienced substantial fuel-price increases during 2026, with the Department of Mineral and Petroleum Resources attributing part of the pressure to higher international oil prices and instability in the Middle East.
In October, the government increased the price of 95-octane petrol by R3.33 a litre, citing rising crude oil prices, supply constraints and higher shipping costs.
In November, however, petrol prices decreased by one cent a litre and diesel prices fell by about R1.10 to R1.20 a litre following temporary fuel-levy relief measures announced by Finance Minister Enoch Godongwana.
The government reduced the general fuel levy by R1.50 a litre for petrol and R3 for diesel from 4 November to provide temporary relief to households and businesses.
Benjamin said higher transport costs increased the price of food and other essential goods.
FEDUSA also wanted the government to review the country’s fuel-pricing structure.
“We believe that it could be easily reduced by six rand or seven rand. They apply their mind properly and the treasury comes up with alternative financing options and we still stick to that and we want to keep the government accountable for that,” Benjamin said.
SAFTU demands protection for workers
SAFTU also criticised the economic consequences of Trump’s domestic policies, particularly tax cuts favouring wealthy Americans and reductions in social assistance.
The federation cited a Congressional Budget Office (CBO) analysis of Medicaid provisions in Trump’s 2025 tax and spending legislation.
An initial assessment of the House-approved bill projected that 7.8 million additional Americans would be without health insurance by 2034.
The CBO subsequently estimated that the Medicaid provisions in the legislation enacted in July 2025 would increase the number of uninsured Americans by 7.5 million by 2034.
SAFTU also referred to an October 2026 analysis by the Institute on Taxation and Economic Policy, which concluded that Trump’s tax changes, higher prices and increased healthcare costs would leave almost every income group financially worse off, apart from the wealthiest 1%.
The federation said workers had also suffered from federal job cuts and restrictions on collective bargaining protections.
In addition to demanding that Washington reverse its AGOA decision, SAFTU called for an end to military action against Iran, diplomatic efforts to end the Russia-Ukraine war and an easing of economic pressure on Cuba.
It also called for the release of Venezuelan leader Nicolás Maduro and his wife, Cilia Flores, an end to US support for Israel’s military campaign in Gaza, and respect for international law and national sovereignty.
SAFTU said the Republican defeat represented an opportunity to restore democratic accountability, but warned that Democrats should not be given unconditional support.
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