South Africa, US deepen trade ties
26 June 2012
Business Unity South Africa (Busa) has welcomed the revived economic ties between
South Africa and the US, after Trade and Industry Minister Rob Davies and United
States Trade Representative Ron Kirk signed a trade and investment framework
agreement last week.
"Busa also supports other agreements and programmes that seek to expand trade
and investment between South Africa and the United States," the organisation said
in a statement on Friday. "These include the African Growth Opportunity Act (AGOA)
and the Generalized System of Preferences (GSP)."
The latest agreement amends a similar agreement signed in 1999 and seeks to
deepen the US-South Africa trade and investment relationship.
It also provides for an annual forum that will address specific business challenges and
will help enhance the trade and investment relationship between the two countries.
South Africa-US dialogue
week's signing, Davies and assistant US trade representative for Africa
Florie Liser held a South Africa-US dialogue with South African and US businesses,
with members of Busa, the US Chamber of Commerce and the Corporate Council on
Africa taking part.
"It emerged from the meeting that the US did not want to sit by while other regions
were taking advantage of mutual commercial opportunities in Africa as well as in
South Africa," Busa said.
"Areas of cooperation in the [agreement] were outlined as anti-dumping,
phytosanitary standards, investment, energy and infrastructure."
SA's third-largest trading partner
According to Busa, the US is South Africa's third-largest single country trading
partner, with total two-way trade between the two countries valued at US$22-billion
"South African exports to the US reached $9.5-billion in 2011, a 15.7 percent
increase from 2010," the organisation said.
$4.6-billion worth of South African products entered the US market duty-
free under AGOA, an increase from $1.5-billion in 2010."