Africans urged to jointly respond to import levies

African government officials, scholars and businesspeople have urged African countries to analyze the effect of US tariffs and come up with a joint response, while seeking alternatives.

Mohamed Elkaraksy, special adviser on strategic initiative to the CEO of the African Union Development Agency in Johannesburg, South Africa, said African countries must talk in one voice at G20 and other forums to promote African interests while facing rising trade protectionism from the United States.

"The issue of the rise in protectionism with tariffs imposed by the US will affect African countries because it will reduce the competitiveness of African goods entering the markets," Elkaraksy said.

"The tariffs will increase the cost of African goods and make them less competitive. African countries need to unite and study the impact of the tariffs on their economies and have a united response on this."

African countries have other tools such as the African Continental Free Trade Area agreement, which nations could fully operationalize and get benefits from, he said. They should explore opportunities presented by the tariffs and the rise in protectionism, he added.

Sudhir Sooklal, director for multilateral organizations at South Africa's Department of Trade, Industry and Competition, said his country will use the opportunity of the G20 presidency to get more trade and investments.

"We are hoping to see this cascade into positive outcomes and lead to prosperity and a sustainable future for the current and future generations," he said.

"The issue of tariffs is a complex challenge we have to contend with. We are looking forward to engaging all our partners, particularly the US, and we are confident that a constructive approach from both sides will be able to find common ground in order to ensure there is prosperity."

Jabu Khumalo, chief executive of Jabu Khumalo Investments in South Africa, urged African countries to look for opportunities in Africa, Asia and other parts of the world in light of US tariffs.

The businessman has been involved in the export of copper, gold and chrome from South Africa to China since 2018. He said African countries should look for markets for their goods within the continent and beyond, such as BRICS, Asia and Latin America.

"What the US has done makes trade hard," he said. "It is opening opportunities of business between South Africa and China and other BRICS partners. This (tariff issue) has opened opportunities for BRICS members to trade with each other and become stronger. We don't have to rely on the West always; there are opportunities elsewhere."

Siphamandla Zondi, director of the Institute for Pan-African Thought and Conversation, University of Johannesburg, said African countries have to look for opportunities not only across the continent but also in Latin America and Asia.

African countries should exploit opportunities particularly in countries that have been hit hard by US tariffs, Zondi said.

Redefining relations

"As US President Donald Trump is redefining his relationship with the European Union, the bloc is worried where they will move to," he said.

"The EU has to see Africa as a potential (partner) to compensate for what it might lose in its relations with the US and to build a strong relationship with Africa.

"We must be ready to take up opportunities that come with the current disruptions. China was hit by tariffs by the US. It should find Africa ready to take up opportunities that are relocating from the US to elsewhere."

There are more opportunities for trade and investment within G20 member states and the rest of the world, despite rising protectionism from the US, he added.

While seeking alternatives, some African nations have also expressed their desire to meet with the US administration and negotiate on tariffs. South Africa has said it will discuss with the US and is exploring markets in the Middle East, Asia, Africa and Latin America.

The US has paused the tariffs for 90 days and it remains uncertain what will happen after that.

The writer is a freelance journalist for China Daily.