Home » US Wants South Africa to Roll Out Red Carpet for its Firms After Trump Tirade

US Wants South Africa to Roll Out Red Carpet for its Firms After Trump Tirade

by Marko Florentino
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The Trump administration wants special carveouts to local legislation for US companies looking to invest in the African nation.

According to local media, the US side raised the issue of a South African law requiring foreign companies to transfer part of their operations to black businesses in closed door talks on Wednesday during President Ramaphosa’s visit to Washington. The law creates “significant barriers” to American capital, US negotiators said.

Communications & Digital Technology minister Solly Malatsi responded with a directive allowing foreign firms to compensate by being allowed to help implement local infrastructure projects. The move is expected to open the door to SpaceX Starlink operations in South Africa.

Agriculture Minister John Steenhuisen said “the door is now open” for other new agreements. The US reportedly wants access to South Africa’s strategic mineral mining operations, for example, but wants the minerals processed in the US, not locally.

South Africa has proposed imports of large quantities of LNG from the US.

The May 21 White House meeting between Presidents Trump and Ramaphosa turned into a tension-filled drama after Trump alleged that a “white genocide” was taking place in South Africa, and thrust videos, photos and documents purporting to show the systematic killings of white farmers (including footage of a mass burial in the DRC, and photos from a 2020 protest mischaracterized as graves) in Ramaphosa’s face.

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