President Cyril Ramaphosa met with US President Joe Biden in the White House on Friday, where relations with Russia, climate change and trade with South Africa’s third biggest trading partner after China and the EU were discussed.
Biden has led an international coalition to punish Russian President Vladimir Putin for the near-seven month war in Ukraine, while South Africa has maintained warm diplomatic relations with Russia.
Other topics discussed included trade, climate and energy, Reuters reported.
A joint task force on trade and investment will be established to expand bilateral economic ties.
The two leaders committed to addressing some of “the world’s most urgent challenges over which we both share concern, including the Russia-Ukraine conflict and its negative consequences for food security in Africa.”
Reuters reported that Biden also announced $45 million in funding for an $8.5 billion multinational venture aimed at accelerating the phasing out of coal-fired power generation in South Africa.
The additional US funding for the Just Energy Transition Partnership comes at a time when declining natural gas and oil exports from Russia and Ukraine have boosted South Africa’s coal sector.
“Clearly the conflict (Ukraine) has to be resolved. Our view is it can best be resolved through dialogue and negotiations,” Ramaphosa said after the meeting with Biden.
Ramaphosa’s warm treatment from Biden came weeks after Secretary of State Antony Blinken travelled to South Africa.
Ramaphosa said they sought to work together on security, including in troubled Mozambique, as well as on climate change. He thanked Biden for the US’s support during the Covid-19 pandemic.
The US is a major export market for South Africa, a significant source of foreign direct investment (FDI), technology transfer, development assistance and tourism. More than 600 US companies operate in South Africa.
Trade and investment relations take place under the auspices of the African Growth and Opportunity Act (Agoa), which grants duty-free and quota-free access to the US market for value-added products. Agoa has created jobs in South Africa and the US. In 2021, the US was the second largest destination for South Africa’s exports globally.
Yesterday Ramaphosa was scheduled to attend the King’s Reception in the UK – a reception hosted by his majesty King Charles III in honour of heads of state and government and guests invited to attend the state funeral service for his mother Queen Elizabeth – at Buckingham Palace.
BUSINESS REPORT