By Johnathan Paoli
Trade union federations Cosatu and Saftu have called on the government to urgently engage with the US on its tariff increases on South African goods, warning that the hike will have dire consequences on workers, industries and the economy at large.
The Congress of SA Trade Unions said on Thursday that the impact would especially be felt in the automotive, mining, agriculture, clothing, chemical and jewellery sectors.
“The 30% import duties to be levied upon South African exports will have a devastating impact on local companies and threaten the salaries and jobs of thousands of South African workers,” said Cosatu parliamentary coordinator Matthew Parks.
Cosatu is concerned about the potential collapse of the African Growth and Opportunity Act, which has provided crucial access to the US market for South African businesses.
“We fear these new tariffs will spell the end of the African Growth and Opportunities Act that has helped to create and sustain millions of jobs across South Africa, Africa and America and nurture the economic integration of the African continent,” he said.
Cosatu urged the South African government to take immediate diplomatic action, both bilaterally and through the World Trade Organisation, to seek alternatives that do not jeopardise local employment.
It also called for a renewed focus on diversifying trade relations, particularly strengthening ties with the European Union, China, Brazil, India and African nations under the African Continental Free Trade Area agreement.
The SA Federation of Trade Unions described the tariffs as a reckless act of economic nationalism that not only threatened South Africa, but the entire Global South.
“These protectionist measures, dressed up as economic nationalism, are a direct threat to South African jobs, global trade stability, and the livelihoods of workers across the developing world,” said Saftu general secretary Zwelinzima Vavi.
The federation highlighted the broader global implications of Trump’s tariffs, noting that they also target major economies such as China (54%), the European Union (20%), Japan (24%) and Vietnam (46%).
Vavi said such aggressive economic policies could trigger a retaliatory trade war, worsening conditions for workers worldwide.
He said the government must start urgent diplomatic engagements with US officials to challenge and reverse the tariff imposition.
The country also needed to diversify its export base, reduce its reliance on the US market and build stronger ties with Africa, BRICS and other regional blocs.
Vavi said international alliances must be strengthened to push for fair trade policies that prioritised workers’ rights over political posturing.
INSIDE POLITICS