Feb 5, 2025 Story by: Editor
JOHANNESBURG – South African President Cyril Ramaphosa on Monday defended his land reform policy following criticism from the U.S. President Donald Trump, highlighting ongoing divisions in the country over racial disparities in land ownership, a long-standing issue since the end of apartheid.
Without providing evidence, Trump stated on Sunday that “South Africa is confiscating land” and that “certain classes of people” were being treated “very badly.” He also suggested he would cut off funding to the country in response.
In response, Ramaphosa dismissed claims of land confiscation and expressed a willingness to engage with Trump to foster a better understanding of the policy, which he said aims to ensure fair public access to land.
Trump’s remarks were echoed by South African-born billionaire Elon Musk, one of his supporters, who claimed in a post on X that the country had “openly racist ownership laws,” implying that white citizens were being targeted.
Currently, white landowners hold approximately 75% of South Africa’s freehold farmland, while Black landowners control just 4%. Black South Africans constitute around 80% of the country’s population, whereas white South Africans make up about 8%.
To address this imbalance, Ramaphosa signed a law last month that facilitates the state’s ability to expropriate land in the public interest.
The African National Congress (ANC), the largest party in the ruling coalition, accused Trump of spreading misinformation fueled by AfriForum, a right-leaning lobby group advocating for white Afrikaans speakers’ interests.
The ANC stated that Trump’s criticism was “a direct result of the lobby group’s ongoing efforts to mislead the global community and protect apartheid-era land ownership.”
Meanwhile, AfriForum’s CEO, Kallie Kriel, announced that his organization would urge the U.S. government “to directly punish senior ANC leaders and not the people of South Africa” over land reform. A spokesperson confirmed that the group had actively lobbied in the United States.
South Africa’s second-largest political party, the Democratic Alliance (DA), which is predominantly white-led, called for amendments to the land reform law but refuted Trump’s claims.
“It is not true that the act allows land to be seized by the state arbitrarily, and it does require fair compensation for legitimate expropriations,” the DA clarified.
Amid growing tensions, ANC Mining Minister Gwede Mantashe suggested that African nations should “withhold minerals” from the United States if aid were to be cut. However, Ramaphosa’s spokesperson, Vincent Magwenya, downplayed the remark, stating that it should be “taken in jest” and that the government was not seriously considering such a move.
The United States committed $440 million in assistance to South Africa in 2023, with $315 million allocated to HIV/AIDS programs. According to Ramaphosa, U.S. contributions account for 17% of South Africa’s HIV/AIDS funding but have little impact on other sectors.
Tensions between the two nations have already been strained due to South Africa’s close ties with China and Russia, as well as its legal action against Israel—an ally of the U.S.—over allegations of genocide.
Following Trump’s remarks, South Africa’s currency, stock market, and government bonds all declined. Economists warned that potential U.S. measures could further harm the economy, especially as the U.S.-Africa AGOA trade agreement approaches renewal and Ramaphosa continues to face challenges in boosting economic growth and attracting investors.
“Do you want to set up a factory in a country where today, Trump’s cutting off all aid? Maybe tomorrow, he’s ripping up AGOA and maybe on Wednesday, he’s adding 25% tariffs because they’re too close to China,” said Charles Robertson, an emerging markets expert at FIM Partners.
In 2023, South African exports to the U.S. through AGOA accounted for 1% of GDP, with nearly half consisting of transportation equipment, according to research by economist David Omojomolo of Capital Economics. He noted that 56% of South Africa’s automotive sector exports were eligible under AGOA.
Trade Minister Parks Tau confirmed that South Africa would engage with the U.S. administration and both congressional parties regarding AGOA’s renewal, which is set to expire this year.” We are optimistic that we will remain part of AGOA,” he stated at an African mining conference in Cape Town. Source: Japan Times
