By Rachel Mohamed
In a surprising move, US President Donald Trump has paused his plan to impose significant tariffs on American trading partners for 90 days. This decision has triggered a surge in stock markets worldwide. The pause comes after weeks of the president advocating for tariffs as essential for America’s economic future and for ‘rectifying’ trade imbalances. It now appears he is softening his stance and becoming more open to diplomatic solutions.
Speaking on VOC’s News Beat show, Wandile Sihlobo, Chief Economist of the Agricultural Business Chamber of South Africa (Agbiz), noted that South Africans should view the temporary halt as a positive development.
“This pause gives us some breathing room. While it’s not a full reversal and still includes a 10% universal tariff that wasn’t part of the plan last week, it’s a step in the right direction. Unfortunately, American consumers will still bear the tax burden, making products entering the US less competitive,” he explained.
Sihlobo also highlighted that South Africa should use this 90-day window to assess what steps it can take to secure continued access to the American market. He stressed that, regardless of political shifts, the US market remains vital for various industries in South Africa.
Listen for the full interview:
VOC News
Photo: Pixabay
