U.S. tariffs on South African goods could cost the country up to 100,000 jobs, warned central bank governor Lesetja Kganyago. He said the 30% tariff, set to begin on August 1, will hit hard. The agriculture and automotive sectors are expected to suffer the most. These industries support thousands of workers, especially in rural and low-income areas.
The agriculture sector is especially vulnerable. According to Kganyago, citrus fruit, grapes, and wine exports will take a major hit. These products are among South Africa’s top exports to the U.S. Farm groups say the tariffs could destroy jobs in citrus farming towns like Citrusdal. In that sector alone, about 35,000 jobs are already at risk.
The automotive industry also faces steep losses. Since U.S. tariffs on South African cars started in April, exports have dropped by more than 80%. This sharp decline is alarming. Kganyago said if no backup plans are made soon, job losses could reach six figures. That would worsen an already dire unemployment crisis.
South Africa has one of the highest unemployment rates in the world. The official rate is 32.9%, and the expanded figure hits 43.1%. Many jobs in agriculture and manufacturing rely on trade. So, these tariffs could severely hurt both workers and small towns that depend on exports to survive.
Government and industry leaders say the U.S. tariffs are based on false trade data. They are now pushing for talks to avoid further damage. Meanwhile, farmers and factory owners are calling for quick action. Without support, many fear these tariffs will push businesses to the brink.