South Africa, future of the West 🇿🇦

SA says no plans to develop a common Brics currency

South Africa’s government said there are no plans to create a so-called Brics currency, after US President-elect Donald Trump threatened to impose 100% tariffs on members of the economic bloc that back the creation of an alternative to the US dollar.

“Recent misreporting has led to the incorrect narrative that Brics is planning to create a new currency,” South Africa’s Department of International Relations and Cooperation, known as Dirco, said in a statement. “This is not the case. The discussions within Brics focus on trading among member countries using their own national currencies.”

https://www.moneyweb.co.za/news/south-africa/sa-says-no-plans-to-develop-a-common-brics-currency/

🇿🇦🇺🇸 Tycoon Rupert Says Extension of US Pact Vital for South Africa

Johann Rupert, chairman and founder of Richemont, said the extension of a trade pact that gives South Africa and more than 30 other nations from the continent duty-free access to the world’s biggest economy is vital for his home country.

Rupert, South Africa’s richest person who this month facilitated a call between US President-elect Donald Trump and South African President Cyril Ramaphosa, said the continent’s most-industrialized nation needs to be part of the African Growth & Opportunity Act that expires in September.

“Our automobile industry, our farmers, our exports — we will have a serious blow to the economy if we lose AGOA,” Rupert said at a forum in Stellenbosch, South Africa, on Thursday. “I will try to use whatever little influence I have to try and keep AGOA intact.”

There are concerns that South Africa may lose its access to AGOA after it raised US ire by refusing to condemn Russia’s invasion of Ukraine and took Israel to the International Court of Justice over accusations of genocide in Gaza. That’s led some US lawmakers to call for a review of trade ties with the nation.

https://www.bloomberg.com/news/articles/2024-11-28/tycoon-rupert-says-extension-of-us-pact-vital-for-south-africa

https://archive.is/n3A02

🇿🇦🇺🇸Agoa, agoing, agoner? Risks of US trade policy for Africa

AGOA expires in 2025, and Washington’s political climate suggests a ‘business-as-usual’ approach is unlikely to suffice.
The future of the African Growth and Opportunity Act (AGOA) is increasingly uncertain as United States (US) industrial policy becomes more nationalistic and securitised, particularly in response to shifting geopolitical, trade and domestic priorities.

Established in 2000, AGOA offers duty-free access to the US market for certain products from eligible sub-Saharan African countries, to encourage economic growth and foster US-Africa relations. However, current and future US policy trends could affect AGOA’s trajectory, potentially damaging African economies.

Several concerns are generating anxiety among African policymakers.

The first is the ongoing shift in US industrial and trade policy. Under both the Trump and Biden administrations, economic nationalism has dominated. US trade has increasingly focused on reshoring supply chains, reducing reliance on foreign production and securing critical industries, particularly in response to competition with China. This could reduce the focus on initiatives like AGOA, especially if they don’t align with US goals of boosting domestic production and securing supply chains.

Moreover, US trade policy is increasingly viewed through a security prism, meaning Africa’s positioning is under greater scrutiny. Should African countries be perceived as drifting into the orbit of China, Russia or other non-Western powers, that could lead to a reassessment of trade incentives under AGOA. South Africa’s ‘Lady R’ debacle offers a clear example. AGOA’s future may be linked to how African countries align with US geopolitical interests.

https://issafrica.org/iss-today/agoa-agoing-agoner-risks-of-us-trade-policy-for-africa