By: Xolani Khumalo
Trade union Solidarity has welcomed the decision by the US House of Representatives to extend the African Growth and Opportunity Act (AGOA), a key trade agreement that grants qualifying African countries duty-free access to the US market.
However, the union has urged the South African government to urgently resolve its ongoing diplomatic tensions with the United States, warning that the country’s continued participation in AGOA is not guaranteed.
Solidarity said South Africa’s potential exclusion from the programme poses a serious risk to hundreds of thousands of jobs, particularly in the automotive, agriculture and manufacturing sectors, which rely heavily on preferential access to the US market.
AGOA has been in place since 2000 and is widely credited with supporting export growth, investment, and employment across sub-Saharan Africa. South Africa is one of the largest beneficiaries of the scheme, with vehicles, citrus, wine and manufactured goods among the major exports to the US.
Solidarity’s head of international relations, Jaco Kleynhans, called for decisive government action to safeguard continued access to the US market. He said failure to address US concerns, including those related to foreign policy alignment and trade practices, could have severe economic consequences.
“The livelihoods of South African workers are at stake. The government must act pragmatically and prioritise economic stability over political posturing,” Kleynhans said.
The extension of AGOA by the US Congress provides temporary relief, but South Africa’s eligibility will continue to be reviewed annually, placing pressure on Pretoria to repair strained relations with Washington.
