SA’s exports of vehicles accounted for less than 0.99% of US complete automobile imports and 0.27% of automobile components “and thus don’t represent a risk to US business”, Tau stated.
“SA will search a gathering with US authorities to debate the developments, given the potential unfavorable impact on the economic system,” he stated.
The consultant physique of the automotive business, Naamsa, has stated it was actively assessing the potential impact of the tariffs and was partaking with its members and different stakeholders.
Among the many automobile manufacturers SA exports to the US are Mercedes-Benz and BMW.
Nationwide Affiliation of Automotive Element and Allied Producers CEO Renai Moothilal stated the affiliation would await additional readability on the complete listing of parts coated by the proclamation.
“Within the quick time period, it’s attainable the result’s client inflation for auto merchandise within the US,” Moothilal stated.
The removing of duty-free entry “over the long run will harm the competitiveness of native part corporations who want the dimensions introduced upon by having the ability to commerce freely into the US market”, he stated.
Reuters
