South African President Cyril Ramaphosa plans to discuss business opportunities for Elon Musk’s companies during his visit to Washington this week, aiming to improve relations with U.S. President Donald Trump, Ramaphosa’s spokesperson Vincent Magwenya said on Monday (19th).
According to an article published by Reuters, Trump criticized South Africa’s governance during the beginning of his second term, expressing disapproval of its land reform policy and its genocide case against Israel – a close U.S. ally – at the International Court of Justice.
His administration cut funding to South Africa in February and, last week, granted refugee status to a group of white South Africans who, according to the U.S. government, faced racial discrimination – a claim the South African government denies. The meeting between the two heads of state is scheduled for this Wednesday (21st), and South African authorities have been preparing a trade proposal to present to Trump in an effort to restore relations.
One potential proposal could involve Tesla – the electric vehicle and energy storage company led by Musk, a close ally and adviser to Trump – receiving favorable tariffs on its imports to South Africa in exchange for building electric vehicle charging stations.
Ramaphosa’s spokesperson stated on the matter: “Certainly, the issue will be discussed.”
The U.S. has pressured some countries facing tariffs to approve Starlink – the satellite internet service from Musk’s SpaceX – according to the Washington Post earlier this month, citing U.S. State Department cables. Musk, who was born in South Africa, previously claimed that Starlink was blocked from operating in the country because he is not Black – an allegation South African authorities have rejected. The country’s telecommunications regulator said in March that the company had not applied for a license.
Musk’s claim appeared to be a criticism of South Africa’s Black Economic Empowerment (BEE) rules, which require foreign-owned telecom license holders to sell 30% of their local subsidiaries to historically disadvantaged groups.
South Africa’s Agriculture Minister, John Steenhuisen, who is part of the delegation traveling to the U.S., said he aims to secure trade benefits for South African farmers.
Currently, South African agricultural products enjoy duty-free access to the U.S. market under the African Growth and Opportunity Act (AGOA). However, under Trump’s tariff regime, that is now at risk. “Losing these benefits would be disastrous for farmers, farm workers, and the economy as a whole,” Steenhuisen said in a statement.
Source: Diário Económico
