China has implemented a zero-tariff policy for 20 more African countries, including South Africa, from Friday, opening improved export opportunities and offering some respite from swingeing US tariffs.
The decision to allow tariff-free exports offers a meaningful opportunity to South African exporters to expand into one of the world’s largest and most dynamic consumer markets, said trade, industry & competition minister Parks Tau.
China initially granted zero-tariff access to least-developed countries in 2024 and has now expanded that to include all countries with which it has diplomatic ties. It excludes Eswatini, which maintains ties with Taiwan.
China is South Africa’s largest trading partner. South Africa–China bilateral trade increased by 33% from $26bn in 2019 to $34bn in 2023. South Africa’s exports increased slightly from $11.9bn in 2022 to $12.5bn in 2023.
South Africa mainly exports raw materials and commodities to China, and the new policy offers opportunities to export other goods — such as fruit, vegetables, wine and other agricultural products — to one of the world’s largest consumer markets.
Infrastructure lag
But advocacy groups and economists have warned that most African countries lack the industrial and energy infrastructure to capitalise on such preferences, stressing that without targeted support for African manufacturing, technology transfer and local content, tariff preferences risk entrenching the continent’s “supplier status rather than overturning it”.
From May 1 2026 to April 30 2028, qualifying South African goods exported to China will benefit from zero customs duties under the scheme, subject to compliance with the applicable tariff schedule and rules of origin, the department of trade, industry & competition said in a statement.
Efficient Group chief economist Dawie Roodt said: “What this means is that African countries wanting to export to China can do so without levies. It’s a good thing, and African countries will benefit from this. But African countries don’t manufacture much, and the reality is that China is so dominant when it comes to manufacturing.”
Roodt said eligible African countries would not bring much competition to China.
“What this scheme will do is to give opportunity to Chinese companies to set up factories in Africa and export back to China, and that’s happening already, so that means many Chinese companies will also benefit,” he said.
Econometrix chief economist Azar Jammine said the scheme is an attempt by China to “try and take advantage of the situation Trump has brought about”. He said the real problem is that “we are not managing to manufacture a lot of goods at a competitive level”, the country lacks sought-after skills, and there is a general decline in manufacturing.
The South Africa-based energy advocacy group African Energy Chamber has said that on paper, zero-tariff access is a welcome opportunity but pointed out that most African countries lack the industrial and energy infrastructure to capitalise on such preferences. Many exports continue to be raw or semiprocessed materials with limited value retention on the continent.
“Tariff-free access does little to change that if nontariff barriers, unreliable power supply or inadequate transport logistics continue to undermine competitiveness,” it said, adding that trade with China “remains heavily skewed toward raw materials, with manufactured imports often undercutting local industries”.
“Without targeted support for African manufacturing, technology transfer and local content, tariff preferences risk entrenching the continent’s supplier status rather than overturning it,” the group said.
The department said access to the preference is conditional on exporters meeting the prescribed rules of origin, including product-specific requirements, and on submitting a valid certificate of origin for customs clearance in China.
Without targeted support for African manufacturing, technology transfer and local content, tariff preferences risk entrenching the continent’s supplier status rather than overturning it.
— African Energy Chamber
The department said it is working with the SA Revenue Service on the customs procedures and the necessary changes to legislation that need to be implemented, including regarding issuing the certificate of origin.
“This preferential market access framework offers a strategic opportunity for South Africa to enhance export competitiveness, diversify into higher-value-added products, and expand market access for agricultural, industrial and beneficiated goods. It also supports broader national objectives, including industrial development, employment creation and export-led growth,” the department said.
The scheme comes after Washington’s relations with Pretoria deteriorated last year over policy differences, resulting in the US slapping a 30% reciprocal tariff on South African exports, listing it among several countries that President Donald Trump claimed had given his country a raw deal in trade for years.
The US Supreme Court ruled in February that the tariffs were illegal, but Trump immediately imposed a new 10% tariff using different legislation, soon after increasing it to 15%.
The department said that while the scheme applies across a broad range of products, including fruit, vegetables and other agricultural products, certain goods may be subject to specific conditions, including tariff rate quotas.
“Exporters are therefore encouraged to familiarise themselves with the detailed tariff schedule and rules of origin documentation to ensure full compliance and optimal utilisation of the preferences.”
It said the department’s export help desk will serve as a central point of contact for guidance, queries, and assistance to support traders and guide them on the compliance and market access processes.
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