South Africa: Cosatu Demands Jobs Rescue As Trump Pulls Trade Lifeline

What the report says

South Africa’s labour federation Cosatu is warning that thousands of jobs in farming and manufacturing could be vulnerable after the United States moved to withdraw the country’s benefits under the African Growth and Opportunity Act (AGOA). According to the Scrolla report distributed by AllAfrica, US officials said the change would take effect from 1 January 2027 after an annual review found South Africa was not meeting programme requirements.

Cosatu said the government should use the remaining time to open talks with Washington and prepare a support package for workers and businesses. The federation proposed measures such as subsidies, tax relief, incentives and help from the Unemployment Insurance Fund. It also urged faster efforts to diversify export markets beyond the US, including in Canada, Brazil, Europe, Asia and elsewhere in Africa.

The article said the loss of AGOA access would not prevent South African companies from selling into the US, but it could make their goods more expensive by removing tariff advantages. South Africa’s trade department was cited as saying about 10% of exports to the US entered under AGOA in 2025, down from 28% in 2024. Government says it is assessing the impact and engaging affected firms. The EFF also called for urgent support, while Solidarity blamed government foreign policy for the strained relations with Washington.