South Africa proposes duty-free steel exports to the U.S. in exchange for natural gas imports

During a meeting at the White House on May 21, South African President Cyril Ramaphosa presented a comprehensive trade package to U.S. President Donald Trump, focusing on steel and liquefied natural gas (LNG). According to the proposal, South Africa plans to import 75 to 100 million cubic feet of LNG annually from the U.S., while also inviting American investment in its domestic energy infrastructure. The agreement is projected to span 10 years, potentially reaching a total trade volume of USD 9 to USD 12 billion.

In exchange for this energy import, South Africa is offering to export 385,000 tons of steel and 132,000 tons of aluminum to the U.S. annually without customs duties. The proposal also includes the duty-free export of 40,000 vehicles and automotive parts per year. This move aims to both strengthen bilateral trade and boost South Africa’s export capacity amid increasing import pressures.