The European Union (EU) unveiled a €4.7 billion ($5.1 billion) investment commitment to South Africa during a high-level summit in Cape Town on Thursday, seeking to deepen cooperation with Africa’s most industrialized economy at a time of geopolitical realignments and strained relations with Washington.
The announcement came as EU leaders met with South African President Cyril Ramaphosa, who currently holds the G20 presidency — a role largely overlooked by U.S. officials under President Donald Trump.
Tensions have grown between the U.S. and both Europe and South Africa, particularly over Trump’s foreign policy pivot towards Russia and his unwavering support for Israel amid South Africa’s legal case accusing Israel of genocide at the International Court of Justice.
Washington has also drawn criticism from Brussels and Pretoria for interfering in domestic affairs — slamming European governments for marginalizing far-right voices, and suspending aid to South Africa over its land reform policies.
Seeking to repair ties, European Commission President Ursula von der Leyen described South Africa as a “crucial global player” and a key voice of the Global South.
“In times of global tension and competition, we must strengthen our partnership,” von der Leyen said, adding that the EU is eager to support South Africa’s economic growth — especially in clean energy sectors like green hydrogen, where the country has strategic advantages.
President Ramaphosa welcomed the EU’s engagement, emphasizing the need for cooperation in driving a just transition to a low-carbon economy and bolstering industrial development.
He stressed that Africa-EU relations must be grounded in mutual benefit and respect for multilateralism amid a global wave of nationalism.
