Pretoria:South Africa is prepared for the announcement of its eligibility status for the African Growth and Opportunity Act (AGOA) benefits by the United States. Trade, Industry and Competition Minister Parks Tau has expressed confidence that the country's economy will remain stable and that exporters will continue their operations regardless of the outcome.

According to South African Government News Agency, the United States is set to decide on South Africa's AGOA eligibility for 2027 on November 2, 2026. AGOA offers sub-Saharan African countries duty-free access to the US market for over 1,800 products, in addition to the more than 5,000 products eligible under the Generalised System of Preferences programme.

Minister Tau has affirmed the government's readiness to support the economy, particularly focusing on South African businesses and their employees. He is optimistic that the US will respond positively to the offers South Africa has made during negotiations over the past year, emphasizing the mutual benefits for both nations and their partners on the African continent.

In discussions with US Trade Representative Ambassador Jamieson Greer, Tau highlighted the substantial progress made during previous rounds of talks on bilateral trade relations and the future of AGOA. He noted that the US remains a valued partner, with bilateral trade reaching $28.8 billion in 2025, and over 600 American companies operating in South Africa, supporting around 134,600 jobs.

Tau also pointed out South Africa's role in supplying 12 of the 50 minerals deemed critical by the US and expressed readiness to collaborate on beneficiating these minerals at source. While the details of proposals remain confidential, they align with international trade rules and prioritize protecting local interests.

He reiterated South Africa's openness to continuing dialogue through diplomatic and trade channels to resolve any concerns the US may have. If necessary, South Africa will have a 60-day period to address these concerns before any suspension of AGOA benefits could occur.

Tau concluded by emphasizing South Africa's commitment to stabilizing trade and investment relations with the US while exploring opportunities in other global markets. The country's Industrial Development Strategy and Butterfly Strategy are aimed at expanding markets across various regions, including the African Continental Free Trade Area, the European Union, and China.