Africa-Press – South-Africa. Exports of vehicles and vehicle parts from South Africa to the United States decreased year-over-year (YoY) by 65% in June and by 80% in July.
This was revealed by data in the latest report from the United States Census Bureau on international trade in goods and services.
The United States Census Bureau releases the US International Trade in Goods and Services report in collaboration with the US Bureau of Economic Analysis.
The US Census Bureau is a federal statistical agency within the U.S. Department of Commerce, responsible for statistics about the American economy.
Its data showed that South Africa’s automotive industry has been hard hit by the escalating United States tariffs under President Donald Trump.
To understand the decline, it is important to look at the changes to South Africa’s automotive manufacturing sector under Trump.
Over the past two decades, South Africa has benefited from preferential trade treatment with the United States under the African Growth and Opportunity Act (AGOA).
One of the sectors that was most advantaged was South Africa’s vehicle industry, which did not incur any duties on exporting vehicles to the United States.
In 2024, South African exports of vehicles and vehicle parts accounted for 15% of the country’s total exports to the United States. However, this changed in 2025.
In March 2025, US President Donald Trump issued the Section 232 proclamation, subjecting imports of vehicles and vehicle parts to the US to a 25% tariff.
The reason for the new vehicle tariffs was to combat the United States’ reliance on international vehicle imports and protect its own automotive sector.
The tariffs took effect in April 2025, and vehicles imported under AGOA were not mentioned as exemptions from the 25% automotive tariff.
The proclamation stated that the tariffs would be imposed in addition to “most favoured nation” rates and would not be waived by preference programs such as AGOA.
The only vehicle imports to the US that qualify for exemptions are certain specified imports under the U.S.–Mexico–Canada Agreement (USMCA).
The impact on South Africa’s automotive sector
The impact of the tariffs on South African vehicle exports was significant. Exports of vehicles and vehicle parts to the US plummeted YoY by 65% in June and by 80% in July.
The overall 2025 year-to-date exports of vehicles from South Africa to the United States experienced a significant 62% decrease compared to 2024.
According to the United States Census Bureau, South Africa exported R26.5 billion of vehicles from January to July 2024. It dropped to only R9.8 billion in 2025.
From the beginning of August 2025, South Africa was subject to a 30% blanket tariff, which further increased the cost for US businesses to import vehicles from South Africa.
This put South Africa at a significant disadvantage compared to other countries exporting vehicles to the United States, which only pay 25%.
The already apparent impact on South Africa’s vehicle exports will likely be influenced to an even greater extent.
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