South Africa has taken a significant step towards securing duty-free access to the Chinese market, with Trade Minister Parks Tau signing a framework economic partnership agreement with China.
The deal, known as the China-Africa Economic Partnership Agreement (CAEPA), aims to boost South African exports and attract Chinese investment.
The agreement covers four key areas: trade cooperation, investment cooperation, new energy cooperation, and multilateral cooperation.
China has agreed to provide duty-free access to South African exports, pending an Early Harvest Agreement by the end of March 2026.
This move is seen as a strategic response to the US imposing a 30% tariff on South African exports.
The deal is expected to benefit South African businesses, particularly in sectors like mining, agriculture, and manufacturing.
Minister Tau emphasized the importance of protecting South Africa’s industrial capacity, stating, “We will negotiate with a view to create the necessary safeguards built into the agreement so as to protect South Africa’s industrial capacity”.
