The ANC is leading SA to the abyss. The August 1 deadline for the imposition of 30% US tariffs on imports from SA is fast approaching. About 200,000 jobs could be lost. In the face of this impending disaster President Cyril Ramaphosa is seemingly unconcerned.
Finance minister Enoch Godongwana, the chief steward of the economy, admitted to BizNews recently that he was not “familiar” with SA’s trade proposals, but believed the department of trade, industry & competition wanted to suggest a trade “equilibrium” with the US, while admitting that failure to secure a deal could result in “ghost towns”.
SA has no ambassador in Washington and “special envoy” Mcebisi Jonas is missing in action. Ramaphosa says he has no need for Jonas to visit the US “on urgent business”. What, no urgency? The entire economy is at risk. The mercurial Donald Trump has just warned that tariffs of 50% could be imposed against “difficult” countries.
The SA government appears intent on a rupture with the US. In a move of utter stupidity, the international relations department has now downgraded the status of the Taiwan’s embassy to a “liaison office” (“Taiwan diplomatic mission in SA downgraded in line with ‘One China’ policy”, July 22). This when the US-SA Relations Review Bill, which has passed the committee stage in the US House of Representatives, describes the move against Taiwan as “clear appeasement to the [Chinese Communist Party]” and senator Ted Cruz has said it undermines the national security interests of America and its allies.
The SA government is mistaken if it thinks rearranging trade terms will let SA off the hook. The Wall Street Journal says the problem is “SA’s pariah-like status in Washington”, where SA is viewed as an anti-American kleptocracy.
It is doubtful whether disaster can still be avoided.
François Theron
Pretoria
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