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Some opposition parties reject DTIC's budget over multi-billion rand lottery operator licence

Some opposition parties reject DTIC's budget over multi-billion rand lottery operator licence

Eyewitness News4 days ago
CAPE TOWN - Some opposition parties have rejected the Department of Trade, Industry and Competition's budget over the multi-billion rand lottery operator licence.
Parties have raised questions over new operator Sizekhaya Holdings's alleged links to Deputy President Paul Mashatile's sister-in-law.
The conflict was exposed by amaBhungane, which revealed that one of the co-owners of Bellamont Gaming was the twin sister of Mashatile's wife.
ALSO READ:• Incoming lottery operator Sizekhaya Holdings commits to giving IP to govt once licence expires
• Some opposition parties want Minister Tau to publicly disclose details of Sizekhaya Holdings, National Lottery contract
• Newly-awarded national lottery licence operator Sizekhaya Holdings' ties to ANC questioned
• KZN businessman Tembe denies claims of 'cronyism' after Sizekhaya secures lottery licence
Opposition MPs used Friday's budget debate to condemn the perceived conflict of interest, with the Economic Freedom Fighters (EFF) calling the lottery the African National Congress's 'cash cow'.
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Steenhuisen expresses optimism about collaborating with Minister Parks Tau to counter the looming 30% tariff
Steenhuisen expresses optimism about collaborating with Minister Parks Tau to counter the looming 30% tariff

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time5 hours ago

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Steenhuisen expresses optimism about collaborating with Minister Parks Tau to counter the looming 30% tariff

DA leader John Steenhuisen says the tariff announcement by US President Donald Trump will signal the end of the African Growth and Opportunity Act, which gives South Africa duty free access to the US for more than 6,000 products, including goods in the automobile, agricultural and textile industries. Image: File Agriculture Minister John Steenhuisen on Tuesday said he was looking forward to work with Trade, Industry and Competition Minister Parks Tau to seek a way to avoid the US 30% tariff for the agricultural sector. Presenting the department's budget in the National Assembly, Steenhuisen noted that US President Donald Trump sent a letter to a number of countries, including South Africa, announcing his intention to persist with the 30% tariff on South African goods and produce exported into the US from August 1. 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Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ The minister also said the agricultural sector remained particularly exposed in areas of citrus, wine, nuts and table grape. 'Now more than ever it highlights the need for urgent reforms in South Africa so that we can ensure our economy meets the requirements of our trading partners around the world. 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Trump slaps 30% tariff on South African exports to US from 1 August
Trump slaps 30% tariff on South African exports to US from 1 August

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Trump slaps 30% tariff on South African exports to US from 1 August

US President Donald Trump warned that any retaliatory tariffs from SA would be met with further hikes. Other, near-identical letters, with varying tariff rates, were addressed to the leaders of Japan, South Korea, Myanmar, Laos, Kazakhstan and Malaysia. US President Donald Trump announced on Monday, 7 July that he would subject imports from South Africa to new 30% tariffs that would take effect from 1 August. In a letter addressed to President Cyril Ramaphosa, which was signed by Trump and posted to his Truth Social, he said: 'We have had years to discuss our trading relationship with South Africa, and have concluded that we must move away from these long-term, and very persistent, trade deficits engendered by South Africa's tariff, and non-tariff, policies and trade barriers. 'Our relationship has been, unfortunately, far from reciprocal. Starting on August 1, 2025, we will charge South Africa a tariff of only 30% on any and all South African products sent to the United States, separate from all sectoral tariffs.' Trump added that if South Africa were to increase its tariffs in response to his announcement, the amount it chooses to raise them by would be added on top of the existing 30%. 'If you wish to open your heretofore closed trading markets to the United States, and eliminate your tariff and non-tariff policies and trade barriers, we will, perhaps, consider an adjustment to this letter. 'These tariffs may be modified, upward or downward, depending on our relationship with your country. You will never be disappointed with the United States of America,' he said. Trump's letter to Ramaphosa was among several posted to his Truth Social on Monday. Other, near-identical letters, with varying tariff rates, were addressed to the leaders of Japan, South Korea, Myanmar, Laos, Kazakhstan and Malaysia. Trump imposed a 30% tariff on South Africa in April, as part of his global ' reciprocal ' tariffs, before agreeing to suspend their application for 90 days, saying he would hammer out bilateral deals with trade partners. The 90-day pause on Trump's tariff hikes was expected to come to an end on 9 July. SA, and other countries around the world, have been pushing to negotiate trade deals with the US to prevent Trump's sweeping tariffs. But only two preliminary deals, with the UK and Vietnam, have since been announced. SA first presented its draft Framework Deal to the US on 20 May, a day before Ramaphosa met Trump at the White House in Washington. The initial proposal included deals on agriculture, critical minerals, automotive and other exports. Last week, the Department of Trade, Industry and Competition (DTIC) said SA had requested an extension of the 90-day pause, to enable it to revise its proposed trade deal in accordance with the Trump administration's new template for US trade with sub-Saharan Africa. Trade and Industry Minister Parks Tau said he believed trade discussions with America would continue beyond 9 July, as the US had indicated at a recent meeting that there was still ' room for engagement ' on the matter. On Sunday, 6 July, Trump also threatened to impose an additional 10% tariff on countries that align themselves with the 'anti-American policies' of BRICS, according to a Reuters report. He said there would be 'no exceptions to this policy'. Meeting in Rio de Janeiro, the BRICS bloc, including Brazil, Russia, India, China and South Africa, and a handful of other nations, voiced 'serious concerns about the rise of unilateral tariff and non-tariff measures' which, they said, 'distort trade and are inconsistent with' World Trade Organisation rules.

Rand weakens as Trump extends tariffs on emerging economies, escalating trade tensions
Rand weakens as Trump extends tariffs on emerging economies, escalating trade tensions

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timea day ago

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Rand weakens as Trump extends tariffs on emerging economies, escalating trade tensions

Trump also reiterated previous warnings of imposing tariffs of up to 100% on BRICS nations should they abandon the US dollar in bilateral trade, and further warned other countries against joining the alliance. Image: Mauro PIMENTEL/AFP The rand weakened to its lowest in nearly two weeks against the major currencies on Monday as global risk was seen to have escalated following US President Donald Trump's tariff threat. On Sunday, Trump announced an extension to the tariff deadline, pushing it to the beginning of August while imposing an additional 10% tariff with 'no exceptions' on countries aligning with the policies of BRICS—a bloc of emerging economies comprising Brazil, Russia, India, China, and South Africa. Trump also reiterated previous warnings of imposing tariffs of up to 100% on BRICS nations should they abandon the US dollar in bilateral trade, and further warned other countries against joining the alliance. The expanded BRICS bloc now encompasses 11 countries, representing 43% of the global population, 32% of the world's land area, and approximately 35% of global GDP, which makes these tariffs even more impactful. On Monday, BRICS currencies, along with emerging markets, came under pressure. The rand weakened by 1.15% to R17.79 against the US dollar, 0.9% to R20.90 against the euro, and 0.9% to R24.20 against the British pound, marking its lowest level since June 27. According to Investec's chief economist, Annabel Bishop, the rand's decline was attributed to rising uncertainty surrounding global trade. She stated that after briefly nearing the key resistance level of R17.50 against the US dollar last week due to the dollar's weakness, the renewed tariff threats compelled a rebound of the dollar, thereby pulling the rand lower. 'The ongoing uncertainties around global trade, with high levels of protectionism (including tariffs) negatively impacting globalisation and global growth, has caused some market concerns, seeing US dollar strength on some safe-haven purchases,' Bishop said. 'The additional 10% BRICS tariffs would add further drag to SA's export competitiveness, and this has added to rand weakness, with the universal extension to early August not currently expected to see SA return to prior Agoa status.' The impact of the tariffs is expected to weigh heavily on South Africa's export competitiveness. The rand's further depreciation comes despite prior efforts by South Africa to negotiate better terms with the Trump administration over trade relations. In fact, the country had already faced a 10% tariff along with an additional 30% duty on certain imports prior to a temporary pause for negotiations. Trade, Industry and Competition Minister, Parks Tau, recently said there was still room for engagement with the US regarding trade protectionism. South Africa has submitted a draft Framework Agreement to address American concerns over non-tariff barriers, as well as trade deficits, but has yet to receive a response. This Framework aims to resolve long-standing access issues while promoting investments on both sides. Nigel Green, CEO of global financial advisory deVere Group, said Trump's fresh threat to slap an additional 10% tariff on any country backing the BRICS alliance was accelerating a decisive shift among global investors — one that's moving capital, attention and confidence away from the US. 'Tariffs were once a bargaining tool. Now they're a permanent threat. That changes how markets view American reliability. We're seeing a structural reassessment of US exposure,' Green said. 'The message from BRICS is to build around the US, not with it. That's a direct consequence of Trump's strategy, and it's setting the stage for a less US-centric world economy.' Meanwhile, the BRICS Leaders Declaration on Sunday said the multilateral trading system has long been at a crossroads. It said the proliferation of trade-restrictive actions, whether in the form of indiscriminate rising of tariffs and non-tariff measures, or protectionism under the guise of environmental objectives, threatened to further reduce global trade, disrupt global supply chains, and introduce uncertainty into international economic and trade activities, potentially exacerbating existing economic disparities and affecting prospects for global economic development. 'We voice serious concerns about the rise of unilateral tariff and non-tariff measures which distort trade and are inconsistent with World Trade Organisation rules (WTO),' read the Declaration. 'In this context, we reiterate our support for the rules-based, open, transparent, fair, inclusive, equitable, non-discriminatory, consensus-based multilateral trading system with the WTO at its core, with special and differential treatment for its developing members.' BUSINESS REPORT

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