A bipartisan group of US lawmakers has called on the Biden administration to re-evaluate South Africa's eligibility for preferential trade benefits under the African Growth and Opportunity Act (AGOA). This request stems from concerns regarding South Africa's perceived support for Russia's invasion of Ukraine, including allegations of arms supply. The lawmakers suggest relocating the upcoming AGOA Forum, scheduled to be held in South Africa in November, as a signal of disapproval.
South Africa's stance of neutrality in the conflict has been questioned by the US, with recent events raising further concerns. These include the docking of a Russian cargo ship under US sanctions at a South African naval base, joint naval exercises conducted with Russia and China, and the potential facilitation of President Putin's attendance at an upcoming summit in Johannesburg, despite an International Criminal Court indictment against him.
The lawmakers' letter, addressed to key US officials, highlights these concerns and emphasizes the importance of standing with Ukraine. They argue that hosting the AGOA Forum in South Africa would inadvertently endorse the country's actions. The letter also points to US intelligence suggesting South Africa covertly provided arms to Russia, further jeopardizing its AGOA eligibility.
While South Africa denies these allegations and insists on its neutrality, an internal investigation into the Russian ship's visit is underway. The country's significant trade relationship with the US, estimated at $3 billion annually through AGOA, underscores the potential economic impact of any sanctions or trade benefit adjustments. The US remains South Africa's second-largest trading partner, second only to China.
South African officials have dismissed the possibility of sanctions as alarmist, but the opposition party views the lawmakers' letter as a sign of waning US patience. This development highlights the delicate balance South Africa must strike between its historical ties with Russia and its economic interests with the US. Any disruption to trade benefits under AGOA could have serious consequences for the South African economy, which is already grappling with various challenges.
A Russian vessel is shown docked at the Simons Town Naval Base near Cape Town, South Africa, on Dec. 8, 2022. South African President Cyril Ramaphosa has appointed a judge to oversee an inquiry into allegations that the country supplied arms to Russia on the ship that docked secretly at a naval base in December. (AP Photo, File)
