The leader of the American Chamber of Commerce (AmCham) in South Africa warned that a conflict with US President Donald Trump could jeopardize a vital relationship that serves both countries well.
“This is a moment for calm and rational responses,” stated Kuseni Dlamini, President of AmCham South Africa. “It’s crucial that South Africa approaches this situation thoughtfully.”
Trump recently announced a ban on US aid to South Africa, citing unfounded claims about human rights violations linked to a new land-expropriation law, as well as allegations of genocide against Israel.
In response, the South African government expressed its commitment to resolving any misunderstandings through diplomatic channels.
The most significant consequence of Trump’s executive order could impact R7.5 billion in funding for South Africa’s long-standing HIV program, leaving its future in doubt.
Dlamini, who represents 600 US companies in South Africa that employ over 200,000 people, emphasized that the implications extend far beyond the aid withdrawal.
“What’s at stake is much larger than just the loss of aid,” he remarked, highlighting that South Africa is the US’s largest trading partner in the region and acts as a strategic entry point into Africa for many American firms.
He also stressed the importance of not allowing this dispute to derail the extension of the African Growth and Opportunity Act (Agoa), which is set to expire in September. This act provides South Africa and over 20 other African nations with preferential access to the US market.
“The case for extending Agoa is compelling, and many other countries in the region benefit from South Africa’s participation,” he added.
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