US tariffs on SA citrus exports spark job fears and industry unrest

SOUTH AFRICA – South African citrus growers and exporters are warning of major job losses and economic damage following the start of new US tariffs on citrus imports from the country.

The Citrus Growers’ Association of Southern Africa (CGA) has called on the South African government to act fast to negotiate a reduction or exemption from the 30% reciprocal tariff that came into effect on April 9.

The CGA says this measure could destabilise citrus exports and threaten thousands of livelihoods.

“The CGA is calling on the South African government to prioritise immediate negotiations with the US on tariff reductions or exemptions on citrus,” the association said in a statement on Tuesday.

“This is urgently needed to avoid job and revenue losses in the citrus industry, South Africa’s largest agricultural export industry.”

Although only 5–6% of South Africa’s citrus exports go to the US, this small share supports entire towns and communities, particularly in the Western and Northern Cape.

Gerrit van der Merwe, CGA chairperson and a citrus grower from the Olifants River Valley, stressed how dependent towns like Citrusdal are on this trade. “A prime example of this is Citrusdal, where exports to the US form the economic heart of this vibrant town,” he said.

“The severity and immediate nature of the impending tariffs could mean that towns like it now face either increased unemployment or maybe even total economic collapse. There is immense anxiety in our communities.”

The CGA estimates that about 35,000 jobs are directly or indirectly tied to citrus exports to the US. The added tariff cost of US$4.25 per carton could make South African citrus too expensive in the US market, especially when competitors from South America only face a 10% tariff.

“There are clear and convincing arguments for why our government must act swiftly and decisively to safeguard citrus,” said CGA chief executive Dr Boitshoko Ntshabele. “Citrus is not produced in a factory. SA citrus growers do not compete with US citrus growers. In fact, quite the opposite. Our high-quality produce sustains consumer interest when US local citrus is out of season, eventually benefiting US growers when we hand over at the end of our season.”

US-South Africa trade tensions

The situation is made worse by political disagreements between the two countries. The US government has cited South Africa’s ties with countries like Iran and Hamas as reasons for the move. South Africa has refused to change its foreign policy, with President Cyril Ramaphosa declaring in February, “We will not be bullied.”

Exporters Western Cape (EWC) chair Terry Gale has warned of a “potential bloodbath of job losses in the export industry” and has urged Ramaphosa to take diplomatic action.

“If South Africa retaliates against US exports, the US President may increase the tariff or expand it in scope – the choice is ours!” Gale said. He believes the president can reverse the situation quickly.

“I still feel with the sweep of a pen by President Ramaphosa, this can be put behind us and we can rebuild the relationship we enjoyed with the USA – why must we all be the victims!”

Meanwhile, Trade Minister Parks Tau confirmed that the tariffs nullify the benefits South Africa previously enjoyed under the Africa Growth and Opportunity Act (Agoa).

He added, “The sweeping tariff measures will affect several sectors of our economy, including the automotive industry, agriculture, processed food and beverage, chemical, metals, and other segments of manufacturing, with implications for jobs and growth.”

Tau said that while South Africa is seeking to diversify export destinations, the loss of the US market comes at the worst possible time. “The 2025 season has already arrived, and the produce is making its way to the ports,” said Ntshabele.

“We are now looking at a potential situation wherein not only will we be facing job losses, but we also lose the potential of serious job growth – a double tragedy.”

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