China, South Africa Seal Major Duty-Free Trade Agreement
Chinese Commerce Minister Wang Wentao and South African Trade, Industry and Competition Minister Parks Tau formalized the China-Africa Economic Partnership Agreement (CAEPA) during a ceremony in Beijing, where Tau is currently heading his country's delegation at Joint Economic and Trade Commission (JETC) talks following an official reception at China's Ministry of Commerce.
The framework pact—officially designated as the Framework Agreement on Economic Partnership for Shared Prosperity—sets the stage for upcoming Early Harvest Agreement negotiations slated to conclude by March 2026, a critical milestone that would eliminate import duties on South African products and accelerate Chinese capital inflows.
According to the Department of Trade, Industry and Competition, the comprehensive framework encompasses trade facilitation, investment promotion, clean energy collaboration, and multilateral coordination. The accord is structured to establish predictable conditions for commercial activity while adhering to World Trade Organization standards and supporting both nations' development agendas.
The two governments have pledged to broaden commercial exchanges, with particular emphasis on expanding South African agricultural exports—including citrus fruits and rooibos tea already shipped to China—alongside high-value manufactured products.
"As China–South Africa relations continue to deepen, new opportunities emerge for South African businesses seeking to enter the Chinese market, particularly in sectors such as mining, agriculture, renewable energy and technology," Tau said.
Beijing has committed to dispatching a procurement delegation to South Africa and extended an invitation for the nation to showcase at the 9th China International Import Expo in Shanghai this November 2026. Additionally, South Africa received an invitation to a specialized steel sector investment forum targeting opportunities in its domestic steel manufacturing.
Tau emphasized that South Africa continues attracting the lion's share of Chinese investment across the African continent, noting that Chinese automobile manufacturers have already established operations domestically, generating critical employment.
Upcoming CAEPA negotiations will focus on identifying economic synergies while incorporating protective measures to preserve South Africa's manufacturing base, Tau added.
China represents South Africa's primary global trading partner, while South Africa holds the position as China's top African trade ally—a relationship that highlights the strategic significance of bilateral commerce.
Officials indicated the framework's completion, combined with JETC outcomes, demonstrates both governments' immediate priority on expanding trade volumes, investment activity, and private sector collaboration.
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