South Africa’s fruit exports at risk as Chile gains tariff advantage in U.S. market

South African agricultural exports to the U.S. could face major setbacks if 30% tariffs take effect on August 1, as confirmed by the Trump administration. If South Africa fails to secure an exemption, countries like Chile may gain a competitive edge.

Experts warn that it's not just the high tariffs on South African goods that pose a problem, but also the lower tariffs on competing exporters. Chile and Peru, for example, currently face only 10% duties on their agricultural exports to the U.S.

This imbalance could allow Chilean products — such as grapes, citrus, blueberries, apples, and pears — to undercut South African offerings in price and volume. Analysts say this shift may lead to a redirection of trade, further hurting South Africa’s position in the U.S. market.

Despite efforts by South Africa’s government to avoid the increase, including high-level meetings in Washington, no trade relief has been granted. As a result, the country could soon see export losses intensified by price-driven competition from its South American rivals.

source: reightnews.co.za

photo: paltrack.co.za