South Africa’s Group of 20 (G20) presidency in 2025 provides an opportunity for the country to address uncertainties around its AGOA (African Growth and Opportunity Act) benefits and global trade relations.
The G20, representing the world’s largest economies, remains an important space for dialogue between global powers, including the US, Russia, and China—countries that rarely interact constructively outside this forum.
As president, South Africa has the difficult yet significant responsibility of bridging divides among these powers while promoting its own and Africa’s interests.
Under South Africa’s leadership, agricultural and broader trade sector stakeholders are optimistic about addressing long-standing trade challenges. They see potential for negotiating key outcomes, such as tariff reduction, trade liberalisation, and enhanced logistics efficiency, to boost South Africa’s import and export capacity.
ChickenFacts explores expert opinions on how the G20 presidential term may enhance South Africa’s access to AGOA and strengthen its trade relationships with international markets amid the volatile political landscape before the G20 presidency returns to the US.
Trump Factor and AGOA
Andre de Lange, Director of the Corporate & Commercial practice at Cliffe Decker Hofmeyr, said South Africa has a unique opportunity to leverage its standing in platforms such as the G20 to influence global trade policies.
“South Africa’s participation in AGOA is uncertain but important. Hosting the G20 could help South Africa avoid tariffs or maintain its AGOA membership by increasing visibility and fostering diplomatic relationships,” he said.
The return of Donald Trump to the White House is expected to reignite trade protectionism, with potential ramifications for global markets and South Africa’s trade relations. During his first term, the U.S.-China trade war led to significant disruptions, with China redirecting agricultural imports to Brazil and Argentina.
South Africa’s AGOA benefits—a key trade mechanism enabling duty-free exports to the US—may come under threat due to perceived misalignment with US interests. These misalignments include South Africa’s refusal to condemn Russia’s invasion of Ukraine, taking Israel to the International Court of Justice, and conducting military drills with China, Russia, and Iran.
Last week, Chris Hattingh, Executive Director of the Centre for Risk Analysis (CRA) told ChickenFacts that South Africa may be affected by higher tariffs if Trump perceives the BRICS alliance to be a threat to U.S. interests.
However, Hattingh determined that South Africa’s renewal with AGOA presents a ‘low-stress threshold’, adding that unless a country actively implements policies that threaten its AGOA eligibility or engages in actions perceived to oppose U.S. interests, renewal is almost a certainty for many countries including South Africa.
De Lange said Trump’s policies could create volatility in commodity prices, indirectly affecting Africa’s exports.
“The presidency provides South Africa with a unique opportunity to shape global trade policy, including in sectors critical to our economy such as poultry. There is significant potential to influence tariff reduction, streamline non-tariff barriers, and improve logistics that have historically hindered our industries,” De Lange said.
However, South Africa is looking to leverage its G20 presidency to persuade the US to implement fair tariffs and trade policies.
Removing barriers to market access will be key to ensuring competitiveness for industries such as poultry and is essential for expanding South Africa’s agricultural exports.
De Lange added that reduced tariffs, export restrictions, and better access to international logistics channels will enhance the industry’s ability to strengthen its economic resilience and compete in global markets.
SA G20 Focus
President Cyril Ramaphosa used the World Economic Forum (WEF) in Switzerland this week to outline South Africa’s priorities for its G20 presidency.
He called on the global community’s multilateral finance institutions to reform their practices and allow emerging economies to access development finance on fair terms.
“As the G20, we need deliberated and coordinated efforts to focus on inclusive growth based on responsive trade and investment to grow the incomes of poor nations and the poorest in society and to ensure equal access to opportunities, especially for women and young people,” Ramaphosa said.
“For nations to flourish, equality and prosperity must be available to everyone—regardless of gender, race, religious beliefs, or economic status.”
The Institute of International Finance report found that US exceptionalism, geopolitical tensions, and record debt levels make it challenging for developing countries including South Africa to attract investment due to perceptions of high risk.
However, the report suggested that these nations can address these challenges by enhancing their risk profiles and leveraging multilateral institutions like the World Bank to attract private financing.
Conclusion
South Africa’s G20 presidency in 2025 presents a unique opportunity to address uncertainties around AGOA benefits and global trade relations.
The country’s leadership in the G20 forum can foster dialogue and cooperation among global powers, while promoting its own and Africa’s interests. By leveraging this platform, South Africa can work towards reducing trade barriers, enhancing logistics efficiency, and securing fair tariffs, ultimately strengthening its economic resilience and competitiveness in global markets.
Despite the potential challenges posed by President Donald Trump’s tenure, the shared commitment to economic development and diplomatic relationships holds promise for South Africa’s trade relations and overall prosperity.
ChickenFacts will monitor relevant developments and policy effects on the poultry industry and consumers. This includes outcomes from G20 summits, impacts of policies from Trump’s administration, and how bilateral relations influence trade, regulation, and market dynamics in the poultry sector.
