Solidarity calls for urgent action to prevent an additional 12.5% tariff on exports to the USA

Solidarity this afternoon expressed concern about an additional 12.5% tariff that could be imposed on South African exports to the United States, after the US Trade Representative found that South Africa had failed to implement and enforce an effective ban on the importation of goods produced through forced labour.

The US also found all other countries investigated on this issue to be non-compliant.

According to the US government, such practices are negligent and unreasonable, and burden or restrict American production and exports. The finding against South Africa, and other countries, means that the US may now impose an additional 12.5% import tariff on goods imported from these countries.

Solidarity also believes it essential that South Africa implement an enforceable policy that protects local workers against imports from countries where forced labour occurs. The exploitation of workers in both local and international supply chains is unacceptable, but there are other ways of addressing this issue.

Punitive measures such as tariffs mainly affect honest workers and manufacturers who are not themselves involved in forced labour, while placing little direct pressure on the real culprits. This results in higher production costs, job losses in export-oriented sectors and a weakened economy that is already suffering from high levels of unemployment.

Although many countries have been found by the US to be in breach of these requirements, it remains necessary for the South African government and civil society to once again engage with the US in an effort to persuade them not to proceed with these tariffs. In the interests of South African workers, who are already under enormous pressure, all stakeholders must now work together to prevent these tariffs from being imposed.

The poor state of South Africa’s relationship with the US continues to harm economic ties and today’s finding underscores the urgency of restoring the relationship between the two countries.