South Africans have a friend in Biden
White House is committed to advance trade with and invest in SA
Earlier this week the White House released its first statement on US-SA relations in 2023, affirming an unreserved commitment to strengthen bilateral relations. As one SA news headline put it, “US seeks to bury Lady R hatchet in call between national security advisers as Agoa talks near.”
Today I write sitting in Washington instead of Johannesburg, as had been the case for most of my time writing for Business Day. I write with the privilege of having a front-row seat to events in both countries and seeing sharply divergent narratives.
It’s important to lay out a few facts from the Washington side. First, the findings of the Lady R investigation are widely accepted. There’s gratitude for the speedy and responsive nature of the investigation led by judge Phineas Mojapelo. Second, SA’s fears that the African Growth & Opportunity Act (Agoa) would be suspended over the activities of Lady R were never validated by the Biden administration.
In a press briefing in May a journalist asked White House press secretary Karine Jean-Pierre: “An inquiry in Pretoria finds that, indeed, a private SA company did supply weapons to Russia. So how does the White House feel about this? What could be the consequences? Are they — is Pretoria — going to be receiving an angry phone call or maybe a rap on the knuckles, changes to their Agoa status, anything like that?”
This is how Jean-Pierre responded: “Certainly I’m not going to get into either any private diplomatic discussions or private companies from here ... so I’ll leave it there.” The White House took a clear position that the Lady R question was not for public dialogue.
Additionally, in a statement earlier this week US national security adviser Jake Sullivan expressed his gratitude to SA for agreeing to host the Agoa forum in November — a piece of legislation that “underscores the importance of this landmark legislation for US relations with the region”.
Agoa is up for renewal in 2025, but the absence of confirmation of its extension is not a reflection of its importance or the administration’s interest in it. Rather, it highlights the domestic complexity of trade agreement negotiations in the US.
Future of US-SA relations
In thinking about the future of US-SA relations I urge readers to consider three points.
First, there were public calls for the US to recall, or SA to expel, ambassador Reuben Brigety. It’s not that simple. Either would deeply undermine relations between two countries that actually want to build a stronger relationship. I don’t think there are many (or probably any) cases where countries have been able to concurrently improve relations while forcing the exodus of a top-ranking diplomatic official.
Second, critics have pointed to the economic fallout from the Lady R allegations on SA’s economy. It’s true — the resulting currency depreciation and loss of market confidence are not debatable. But I’m optimistic for the economic benefits the partnership can bring. The statement from the White House affirmed the commitment to advance trade and investment, alongside other development objectives.
Efforts to advance trade and investment will build on a strong foundation of growth. From 2016 to 2021 the US was the fastest-growing export market, with exports rising by 139% or $8.1bn (R155.5bn). That is nearly double the increase of the second-fastest growing market, India. The US is also the second-biggest importer of SA goods at $14bn (R269bn) in 2022.
Third, while it’s true that former US president Ronald Reagan’s approach to SA’s apartheid policies set the country back, current President Joe Biden was one of apartheid’s fiercest critics, publicly and unfalteringly. In 1986, when he was a US senator he pounded his fist on the table at a Senate foreign relations committee hearing and berated George Shultz, who served as secretary of state under Reagan, for supporting the apartheid regime. “I’m ashamed that’s our policy. That’s what I’m ashamed of. I’m ashamed of the lack of moral backbone to this policy.”
Biden added: “Damn it, we have favourites in SA. The favourites in SA are the people who are being repressed by that ugly white regime. We have favourites. Our loyalty is not to SA, it’s to South Africans. And the South Africans are majority black.” You can find the video footage online.
Whether the events undertaken by the Reagan administration in the 1980s or the unfortunate megaphone diplomacy incident earlier in 2023, Biden and his team in Washington have been enduring fans of South Africans over 35 years. This week’s statement affirmed that.