South Africa Eyes Duty-Free Access to China via New Trade Agreement (SAA: +0.5%)

South Africa and China signed a framework agreement for a new trade deal on February 6, 2026, aiming to secure duty-free access for key exports like fruit and minerals. The deal is part of South Africa’s strategy to diversify from U.S. markets amid Trump-imposed 30% import tariffs and deteriorating diplomatic relations. The ministry expects negotiations to finalize the agreement by March 31, 2026. South Africa’s largest trade partner, China, is already a major importer of gold, iron ore, and platinum-group metals and a rising auto market with BYD outpacing Tesla in 2025. The agreement is expected to boost mining, agriculture, renewable energy, and technology sectors, with Chinese car sales in South Africa rising from ~2.8% in 2020 to 11–15% in 2025.