South Africa is weighing the introduction of additional incentives for its automotive sector in response to recently imposed U.S. tariffs on car imports, Trade, Industry and Competition Minister Parks Tau said on Thursday.
Speaking in an interview with Power FM, Minister Tau noted that the government is exploring the expansion of its automotive industry production support plan as a potential tool to mitigate the economic fallout from the tariffs introduced by U.S. President Donald Trump.
“We are currently working on modeling a potential support package,” Tau said, adding that the initiative may extend beyond the auto sector to include other vulnerable industries affected by the new trade measures.
The minister emphasized that while discussions are still ongoing, the aim is to craft a strategic and implementable policy response to cushion the impact on South African manufacturers and sustain the country’s industrial output.
Details of the proposed package are expected to be finalized following further consultations with stakeholders across the industry.
