President Cyril Ramaphosa, has responded to U.S. President Donald Trump’s threat to cut funding to South Africa over its new expropriation laws, stating that South Africa is open to dialogue and hopes to reach a mutual understanding.
On Sunday night, Trump took to his ‘Truth’ social media platform, accusing South Africa of “confiscating land and mistreating certain groups of people”—a reference to the Expropriation Act signed into law by Ramaphosa in January.
Trump vowed to “cut off all future funding to South Africa until a full investigation into this situation has been completed.”
In response in a viral video, the South African presidency refuted claims that the government had confiscated land, emphasizing that the new legislation is not intended as a tool for such actions.
This issue that Donald Trump fears so much. We offer this question of the land, I don’t know what Trump has to do with South African land because he’s never been here. And if he must keep his America, we will keep our South Africa. That is what we must do. South Africa is our land. South Africa belongs to all the people who live here in South Africa. It dies not belong to Donald Trump. He can keep his America. And it’s even worse. When I meet him, I will tell him, you Donald Trump are even worst….”
“The recently adopted Expropriation Act is not a confiscation instrument, but a constitutionally mandated legal process that ensures public access to land in an equitable and just manner as guided by the constitution.
“South Africa, like the United States of America and other countries, has always had expropriation laws that balance the need for public usage of land and the protection of rights of property owners.”
Ramaphosa said that South Africa is a constitutional democracy that is deeply rooted in the rule of law, justice and equality, and that he was looking forward to “engaging” with the Trump administration over the country’s land reform policy.
“We are certain that out of those engagements, we will share a better and common understanding over these matters,” he said.
The presidency noted that the United States is a key strategic political and trade partner for South Africa.
The office also downplayed the impact of Trump’s moves to cut funding.
“With the exception of PEPFAR Aid, which constitutes 17% of South Africa’s HIVAids programme, there is no other significant funding that is provided by the United States in South Africa,” he said.
However, markets were spooked by Trump’s statement, sending the rand over R19/$ before pulling back on Monday morning.
Concerns have been raised over what the Trump administration’s tariff wars with close trading partners mean for the wider market—and what the targeting of South Africa, in particular, means for the country’s continued presence in the African Growth and Opportunity Act (AGOA).
AGOA allows duty-free access to the US market for a significant portion of South African goods, with more than R55 billion worth of exports in 2022 alone (mainly motor vehicles, fruit, and wine).
The US is South Africa’s second-largest export partner, with R61.49 billion of South African goods exported to the US in the first five months of 2024.
AGOA is set to expire in September 2025.
