This volatility makes it extremely difficult for South African exporters — from citrus and wine producers to vehicle manufacturers — to plan or sign long-term supply contracts with US buyers, since the landed cost of their goods in America can shift by 20 percentage points within months. AGOA's traditional duty-free benefits have in practice been repeatedly overridden by these separate tariff actions.
Source: Congressional Research Service
Frequently Asked Questions
Does AGOA still give South Africa any real benefit if these tariffs override it?
AGOA's duty-free treatment technically remains in place for eligible products, but presidential tariff actions using separate legal authorities have repeatedly taken precedence.
Why did the tariff rate specifically drop from 30% to 10% in February 2026?
A US Supreme Court ruling found against the legal basis for the original "reciprocal" tariffs, prompting a lower, time-limited tariff under a different section of US trade law.
Is 12.5% now a stable, long-term rate for South African exports to the US?
There's no guarantee — given the pattern of the past year, South African exporters continue to treat US tariff policy as an active, evolving risk.
