South Africa eyes China export boom under zero tariffs

South Africa eyes China export boom under zero tariffs

Share current article via EmailShare current article via FacebookShare current article via TwitterShare current article via LinkedInThando MaekoPolitical Correspondent

Opens in new windowOpens in new windowOpens in new windowOpens in new windowEnter fullscreen mode displaying this image.ExpandTrade, industry and competition minister Parks Tau says the South African Revenue Service issued 25,975 certificates of origin between June 1 and August 31. Picture: Freddy Mavunda/Business Day South African exporters have a two-year window to expand sales into China under a zero-tariff arrangement that has already generated a sharp increase in customs declarations, with agricultural producers among those seeking to grow their share of the Asian market.

Trade, industry and competition minister Parks Tau said on Thursday that the South African Revenue Service (SARS) had issued 25,975 certificates of origin between June 1 and August 31, allowing qualifying goods to enter China without customs duties. Customs declarations increased 199% year on year over the period, according to Tau’s speech at a briefing for South African and Chinese businesses in Pretoria.

The zero-tariff arrangement is temporary and subject to rules of origin and other requirements. Exporters must obtain valid certificates of origin from SARS to qualify for the preference, while certain products remain subject to tariff-rate quotas. The two-year period is intended to provide a bridge towards a longer-term trade arrangement.

Tau said South African and Chinese officials were negotiating an Early Harvest Agreement through the Southern African Customs Union, following the signing of a framework agreement on economic partnership in February.

“Our aim is to give exporters certainty beyond 2028, with safeguards that protect South African industry and jobs,” he said.

The figures offer an early indication of activity under the scheme, which took effect on May 1 and runs until April 30 2028. However, the number of certificates and the increase in declarations do not establish how much additional export revenue the arrangement has generated.

Agriculture is among the sectors with opportunities to expand sales, particularly through exports of citrus, apples, stone fruit and wine. China’s duty-free treatment reduces the tariff costs facing eligible South African products, potentially improving their competitiveness against suppliers from other markets.

South Africa exported about 11.5-million cartons of citrus to China in 2025, accounting for roughly 6% of its total citrus exports, according to agricultural industry figures. The sector generated export earnings of about $2.47bn globally last year, highlighting the scale of the industry that could benefit from wider market access.

China has also opened its market to South African stone fruit, including apricots, peaches, nectarines, plums and prunes. A separate protocol signed in September gave South African cherry producers access to the Chinese market for the first time, creating another potential avenue for export growth.

The opportunities come as South Africa seeks to diversify its export destinations and reduce its exposure to trade disruptions in established markets.

Tau said the government had developed a portfolio of 100 value-added products for the Chinese market.

“The portfolio cuts across agro-processing, beverages, chemicals and pharmaceuticals, cosmetics, machinery, medical equipment, fabricated metals, plastics and rubber, automotive products and other industrial capabilities,” he said.

🇨🇳 🇿🇦 Minister Parks Tau addressing the Briefing Reception on China’s Zero-Tariff Treatment to African countries in Pretoria says China is South Africa’s largest trading partner and an important source of investment. #ChinaZeroTariff pic.twitter.com/KcTg70OOnQ

China is South Africa’s largest trading partner globally, with bilateral trade reaching R642bn in 2025, up from R483bn in 2021. South African exports to China rose to R222bn from R198bn over the same period, while imports from China increased to R420bn from R284bn.

South African agricultural exports to China rose more than 35% year-on-year to nearly $500m in the four months after Beijing introduced zero-tariff treatment for African countries, as the government seeks to turn preferential market access into a longer-term boost for exporters and domestic production.

Chinese ambassador to South Africa Wu Peng said bilateral trade between the two countries reached nearly $15bn between May and August, up almost 24% from a year earlier. South African exports to China rose nearly 25% to $5.3bn, outpacing the country’s overall export growth of 17% over the same period.

Wu said discussions about access for other agricultural products were under way.

The expansion of agricultural access comes as South Africa seeks to diversify its export markets and increase the value of goods it sells abroad. China is South Africa’s largest trading partner, but the relationship remains characterised by substantially higher imports from China than exports to it.

Wu said South African exports to China totalled $5.3bn between May and August, compared with imports of $9.47bn from China, while exports grew faster year on year.

Would you like to comment on this article?Sign up (it's quick and free) or sign in now.

Please read our Comment Policy before commenting.

đź“° Original Source Attribution

Reported by businessday.co.za.

Read Original Report at businessday.co.za ↗
Share: WhatsApp WhatsApp
đź’¬

Comments (1)

Join the Conversation
Z
zeiniez.luxury 2 hours ago

zeiniez.fashion

You may like