Ramaphosa Reflects on Successful US Economic Talks

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Ramaphosa Reflects on Successful US Economic Talks
Ramaphosa Reflects on Successful US Economic Talks

Africa-Press – South-Africa. President Cyril Ramaphosa has hailed his working visit to the US as a success despite criticism from opposition parties.

Last week Ramaphosa met US President Donald Trump to reset and strengthen relations between Pretoria and Washington. This followed Trump’s claims that white South Africans were targeted victims of genocide, which resulted in him opening his country for those wanting to move to America as refugees.

The EFF and MK Party have criticised Ramaphosa for falling short of coming to his country’s defence and not aggressively denouncing the genocide myth. EFF leader Julius Malema called him “captured” for the delegation he led which included wealthy businessman Johann Rupert.

Ramaphosa insisted the strained relations were as a result of “fringe groups” peddling misinformation in the two countries. “In this context, it was critical for us to engage directly with the US administration to correct misinformation and provide a true account of the progress we have made as a democracy and the many and complex challenges we still face,” he said.

“While this was a necessary conversation, the overarching aim of our visit was to deepen our strategic economic partnership with the US as our second-largest trading partner.

“South Africa has always regarded the US as a strong investment and trading partner. Our countries and our economies are bound together in many ways. We went to Washington to establish a basis for greater economic co-operation and to address some of the challenges that have recently arisen in relations between our two countries.”

In his weekly newsletter, the president detailed the trip from an economic standpoint, saying the two countries have potential to increase diverse trade.

“The US is a key export market for South African goods, products and services, including motor vehicles, agricultural products and, increasingly, critical minerals. At the same time we buy many goods and services from the US.

“There are more than 600 US companies, many with a long-established presence here, who continue to expand their investments. For example, earlier this year tech giant Microsoft announced plans to invest an additional R5.4bn in expanding its cloud and AI infrastructure in South Africa over the next two years. Last week, there was a strong showing of US companies at an important energy conference in Cape Town.”

Ramaphosa reported data from the US department of commerce suggests American companies based in South Africa employ 148,000 people, while also climbing the ranks as a popular tourist destination for Americans — with close to 400,000 tourists recorded in the past year.

The president reflected on Washington and Pretoria’s long-standing development partnership, spanning critical areas such as health, education and environmental conservation and protection.

He said the discussions with Trump resulted in an agreement to work together and for co-operation on the economic front, hinting a further engagement on tariffs and trade matters will be concluded.

“We also discussed exploring new opportunities for companies from South Africa and the US in each other’s markets. We were able to update US officials on the structural reform process under way to improve the ease of doing business and facilitate a favourable investment climate.

“We are operating from a firm base. Last year’s country investment climate summit published by the US state department highlights South Africa being an attractive investment hub, citing key factors such as deep and well-regulated capital markets, strengths in manufacturing, stable institutions, an independent judiciary and robust legal sector, respect for the rule of law, a mature financial and services sector and experienced local partners.”

A government and business delegation from Trump’s administration to South Africa has been invited by Ramaphosa to explore opportunities for deepening investment and trade.

The US is also expected to attend the G20 leader’s summit in Johannesburg later this year, where South Africa will hand over the presidency to the US.

Recalling the spirit of co-operation between the two countries, Ramaphosa cited former president Nelson Mandela’s address to the US Congress in 1990. One he believes is “firmly in place” 30 years later.

“He spoke of the envisaged economic co-operation between a democratic South Africa and the US as “not a relationship between donor and recipient, between a dependent and a benefactor”, but one of mutual benefit.

“Our successful working visit to the US reaffirmed the importance of keeping the channels of dialogue open. The willingness of the US to engage with South Africa on resetting our relationship is testament to the strength of the bilateral relationship.”

Ramaphosa called on government, business, labour and the rest of society to overcome its domestic challenges, including crime, if the country is to attract investment that advances economic growth and create jobs.

“As South Africans, as a sovereign and independent nation, we are always ready to acknowledge and address our problems, just as we are always ready to engage our critics in meaningful discussion.

“We are pleased that our visit to Washington established a basis for greater engagement and co-operation. Our two countries have everything to gain from working more closely together.”

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