Minister of trade, industry and competition Parks Tau says the framework deal South Africa submitted to the US proposes concessions like liquefied natural gas (LNG) investment and auto exemptions from tariffs.

He was responding in writing to questions from EFF MP Nqobile Mhlongo, who asked whether the minister, in his official capacity, signed or sealed any trade agreements with his US counterpart during the government’s visit to Washington in May.

She asked for the full details of any specified agreements, including the sectors involved and projected benefits to South Africa, what the motivation behind the agreements was and how they align with the country’s development priorities and economic sovereignty.

In his reply, Tau said the framework deal South Africa submitted to the US constitutes a proposal that will be subject to negotiations between the two countries.

“The framework agreement covered ... among other elements, [the] procurement of US products such as LNG, complemented with US investment in gas infrastructure in South Africa and co-operation in key technologies to unlock production of gas in South Africa.

“[It also includes] addressing agricultural market access for both countries, promoting two-way investment and improving the investment climate, [and] areas of future co-operation including on tariffs, digital trade, critical minerals,” he said.

US President Donald Trump announced tariffs on auto imports in terms of section 232 of the US Trade Expansion Act, aimed at protecting the US industry. In April, he announced “reciprocal” tariffs of 60% but suspended them for 90 days.

Last week, he announced 30% tariffs on South Africa but allowed time until August to negotiate a trade deal. This is despite Ramaphosa travelling to Washington in May with a delegation that included billionaire Johann Rupert and agriculture minister John Steenhuisen.

Tau said South Africa had its own set of demands for the US in the trade discussions, including provisions for auto and auto part imports to be made exempt from the section 232 tariffs announced earlier this year.

“In return, South Africa requested that the US consider the ... exemption of certain volume of cars and parts, and steel and aluminium from section 232 tariffs.

“While negotiations are under way, [SA asked] the US to maintain the reciprocal tariff at 10% or lower rate for other exports and maintain the Agoa [African Growth and Opportunity Act] preferential rate on MFN (most-favoured nation) duties.”

He said South Africa asked the US to further exempt counter-seasonal fresh produce and exports from SMEs of less than $1m (R17.9m) per annum from the reciprocal tariff and grant market access for citrus, avocados, lychees and mangoes.

The minister said South Africa and the US did not sign any trade agreement during the working visit to the US, as the purpose of the visit was to reset the bilateral relations and to set up a framework of engagement.

“The two countries recognised the Trade and Investment Framework Agreement (TIFA) as a platform for engagement to discuss issues of mutual interest.

“Further, South Africa used the opportunity to submit a framework deal to enhance mutually beneficial trade and investment relations, and mitigate against the reciprocal tariffs the US imposed against all countries, including South Africa.”

He said the US imposed reciprocal tariffs ranging between 10% to 50% against all countries, citing concerns with trade deficit, lack of reciprocity and unfair trade barriers.

“However, the US paused the reciprocal tariffs for 90 days, ending on July 9 and lowered the tariffs to 10%. During this period, the US expected all countries to present 'offers' on how to deal with its concerns as indicated above.”