Pres. Donald Trump van die VSA. (Photo: Brendan Smialowski/AFP)
On Wednesday, Solidarity expressed its concern over the possibility that South African exports to the US could be hit with an additional import tariff of 12.5% after the US Trade Representative found that South Africa had not introduced and enforced an effective ban on the import of goods produced with forced labour.
According to Solidarity, the proposed tariff could have serious consequences for South African workers and export-oriented industries.
The US government found that South Africa, along with several other countries investigated, had failed to apply adequate measures against products produced with forced labour. The US views such practices as negligent and unreasonable because they say they harm US manufacturing and exports.
The finding makes it possible for the US to levy an additional import tariff of 12.5% on products from these countries.
Also read: US seeks new tariffs on forced labor
Archive photo for illustration purposes only. (Photo: Unsplash)
According to Jaco Kleynhans, head of international liaison at Solidarity, South Africa should have an enforceable policy that protects local workers against imports from countries where forced labor occurs, but he warns that punitive measures such as tariffs often hit the wrong people.
“The exploitation of workers in local and international supply chains is unacceptable, but there are other ways to deal with this issue,” says Kleynhans.
He believes that tariffs mainly affect honest workers and manufacturers who are not involved in forced labor themselves, while putting little pressure on the actual perpetrators.
According to Solidarity, the charges could lead to higher production costs, job losses in export industries and further pressure on an economy with already high levels of unemployment.
The union is calling on the South African government to urgently enter into discussions with the US to avert the proposed tariffs.
“In the interest of South African workers, who are already under enormous pressure, there must be cooperation now to prevent these tariffs,” says Kleynhans.
He adds that the latest finding highlights the need to restore relations between South Africa and the US.
“The poor state of South Africa’s relationship with the US continues to harm economic relations and today’s finding confirms the urgency to restore the relationship between the two countries.”