A new 30% tariff on South African exports has come into effect — here’s what it means for your business.

Last week’s announcement by the United States to impose a sweeping 30% tariff on all South African-origin goods (unless specifically excluded) has sent shockwaves through local and international markets. The move, reportedly a reaction to what President Trump claims is a 60% tariff on US goods entering South Africa (our actual average is around 7.5%), is already creating ripple effects across global trade corridors.

What This Means for You:

If your product isn’t listed in the exempted category, you’ll need to absorb or pass on a 30% cost increase in the US market. That’s a serious blow for exporters already juggling a weakened rand (currently above R19.50 to the dollar) and rising input costs.

While diplomatic discussions are underway, now is the time for South African traders to:

• Reassess your export markets

• Explore opportunities under the African Continental Free Trade Area (AfCFTA)

• Rethink your global trade strategies

Shipping Rates: A False Sense of Relief?

Although container rates from China have dropped — with some reports citing a 43% decrease since December 2024 — don’t get too comfortable. Shipping lines are masters of supply control, and blank sailings could drive prices back up quickly.

VAT Adjustments Incoming

📌 From 1 May 2025, an additional 0.5% VAT levy will apply. Please ensure your accounting systems are updated.

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SARS VAT Number Validation: Don’t Get Caught Out

From 1 April 2025, SARS is enforcing stricter VAT number validation. Any customs declaration with a valid VAT number not linked to your trader code will be rejected. This applies particularly to traders with multiple VAT and customs codes. Visit your nearest SARS office or use the Registration, Licensing and Accreditation portal for assistance.

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Let’s Learn: What Exactly Is a Tariff?

Given the current climate, a quick refresher is useful: A tariff is a tax imposed on imported goods. In South Africa, goods are classified using HS (Harmonised System) codes, which determine the correct duties and VAT payable.

Why tariffs matter:

• They protect local industries

• They generate government revenue

• They ensure proper customs classification

🚨 Tip for Importers: Incorrect tariff codes can lead to delays, fines, or more than you should pay. Check with your clearing agent (or us!) to ensure compliance.

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Global Freight Pulse: Key Insights

• 43% drop in Chinese freight rates since Dec 2024

• Maersk Colombo skipped Cape Town due to 10-day delays

• Durban and Coega ports see early citrus exports

• OR Tambo air freight is down 7% inbound, 4% outbound week-on-week

• New tariffs may lead to creative trade routes — think of Brazil as an intermediary

💡 Insight: Vessels rerouted around the Cape of Good Hope due to Red Sea tensions are adding up to two weeks to transit times, pushing up freight costs on key lanes.

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South African Ports Snapshot – April 2025

Durban

• Pier 1: 0–2 days delay

• Pier 2: No delay

• Durban Point: 3 days delay

Cape Town

• CTCT: 7–10 days delay (strong winds)

• MPT: No delay

Port Elizabeth

• PECT: 0–1 day delay

• NCT: No delay

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Final Word

Trade is evolving fast. Tariffs, shifting routes, and volatile rates are now part of daily life in logistics. At Central Station, we help you adapt quickly, ship smarter, and stay compliant — no matter what gets thrown your way.

📩 Need help navigating tariffs? Contact our team — we’re ready to assist.