South Africa Market
South African Trade with Asia
Since 1994, South Africa has continued to strengthen its relations with Asia through increases in two-way trade and finalising co-operation agreements involving scientific and technological exchange, technology transfer, investments and overseas development assistance.
North-east Asia
Japan
Japan is South Africa's largest trading partner in Asia and its fourth largest overall trading partner. In 2001, total bilateral trade amounted to R32-billion, an increase of 2% over the previous year while exports to Japan grew by 9.3%. Trade is structured along north-south lines, with South Africa exporting commodities, especially minerals, to Japan and in return importing manufactured goods, notably automobiles and electronic goods.
Japan is South Africa's largest trading partner in Asia and its fourth largest overall trading partner. In 2001, total bilateral trade amounted to R32-billion, an increase of 2% over the previous year while exports to Japan grew by 9.3%. Trade is structured along north-south lines, with South Africa exporting commodities, especially minerals, to Japan and in return importing manufactured goods, notably automobiles and electronic goods.
Japan is the fifth largest investor in South Africa, with cumulative investment since 1994 amounting to approximately R2-billion. These investments are concentrated in minerals processing and the motor assembly and related sectors, especially tyres. Japan is also a substantial aid donor to South Africa. Bilateral ties between South Africa and Japan are strengthened through The Partnership Forum.
South Korea
Bilateral trade with South Korea amounted to R10.04-billion in 2002. The country assists South Africa with human resource development in specialist sectors.
Bilateral trade with South Korea amounted to R10.04-billion in 2002. The country assists South Africa with human resource development in specialist sectors.
China
Economic and trade relations between South Africa and the People's Republic of China have grown rapidly since the formal establishment of diplomatic relations. The two countries engage regularly on economic issues through a Joint Ministerial Commission (JMC). China imports iron ore, copper, chrome, timber and paper pulp from South Africa. Exports to China were R6.7-billion in 2003 and imports a massive R16-billion in the same year.
Economic and trade relations between South Africa and the People's Republic of China have grown rapidly since the formal establishment of diplomatic relations. The two countries engage regularly on economic issues through a Joint Ministerial Commission (JMC). China imports iron ore, copper, chrome, timber and paper pulp from South Africa. Exports to China were R6.7-billion in 2003 and imports a massive R16-billion in the same year.
The fact that South Africa exports unbeneficiated minerals, such as iron-ore and gold to China, while Chinese imports comprise value added products, such as appliances, has caused concern over that country's penetration of the South African market. Trade experts have warned that a proposed free trade pact with China needs to be negotiated with caution.
South African exports to Taiwan amounted to R5.12-billion in 2002, with exports totaling R5.42-billion in the same period. Of the more than 620 Taiwanese businesses investing in South Africa, just under half of them are involved in the manufacturing sector.
South, South-east Asia, Australasia
South Africa is a member of the Indian Ocean Rim Association for Regional Co-operation (lOR-ARC), a project-based regional economic grouping of 18 countries washed by the Indian Ocean. The association comprises: Australia, Bangladesh, India, Indonesia, Iran, Kenya, Madagascar, Malaysia, Mauritius, Mozambique, Oman, Singapore, South Africa, Sri Lanka, Tanzania, Thailand, United Arab Emerates and Yemen. It aims to facilitate trade and investment in the region.
The lOR-ARC member countries account for about 7% of world trade. Between 1995 and 2002 it made up 14% of South Africa's global trade.
India
India is South Africa's sixth largest trading partner in Asia, with two-way trade worth more than US$2-billion a year. South Africa has various co-operation agreements with India involving several sectors, including technology, telecommunications and small business (SMEs). It has established an India-South African Commercial Alliance, and set up a JMC with India. Amongst other things, the JMC allows for ministerial consultations on political and economic matters.
India is South Africa's sixth largest trading partner in Asia, with two-way trade worth more than US$2-billion a year. South Africa has various co-operation agreements with India involving several sectors, including technology, telecommunications and small business (SMEs). It has established an India-South African Commercial Alliance, and set up a JMC with India. Amongst other things, the JMC allows for ministerial consultations on political and economic matters.
South Africa also recently adopted the 'New Delhi Agenda for Cooperation' ?a south-south co-operation agreement with India and Brazil. The agreement will see the three nations sharing opportunities, experiences and achievements. The aim of the collaboration is to increase trade flows between the three countries from the current $4.6-billion to $10-billion by 2007. A Trilateral Business Council has been established as the framework for businesses from the three countries to work together. It's expected that free trade deals currently being negotiated will evolve into an inter-continental free trade area.
Malaysia
Trade with south-east Asia is relatively evenly spread between Malaysia, Singapore, Thailand and Indonesia. South Africa has built its strongest ties in Southeast Asia with Malaysia. This is evident in Malaysia being the second largest investor on a cumulative basis in South Africa since 1994. In 2002 bilateral trade amounted to R5.6-billion, focussing on the hospitality, telecommunications and energy industries. South Africa and Malaysia co-operate closely in forums such as the Commonwealth, and Malaysia's intensive Technical Co-operation Programme provides numerous training opportunities for South Africans across a range of sectors.
Trade with south-east Asia is relatively evenly spread between Malaysia, Singapore, Thailand and Indonesia. South Africa has built its strongest ties in Southeast Asia with Malaysia. This is evident in Malaysia being the second largest investor on a cumulative basis in South Africa since 1994. In 2002 bilateral trade amounted to R5.6-billion, focussing on the hospitality, telecommunications and energy industries. South Africa and Malaysia co-operate closely in forums such as the Commonwealth, and Malaysia's intensive Technical Co-operation Programme provides numerous training opportunities for South Africans across a range of sectors.
Singapore
Singapore is an important economic and trading hub in the region. South Africa's bilateral trade with Singapore is substantial, with 2002 trade amounting to some R4-billion.
Singapore is an important economic and trading hub in the region. South Africa's bilateral trade with Singapore is substantial, with 2002 trade amounting to some R4-billion.
Thailand
2002 marked the 10th anniversary of consular relations between South African and Thailand. In 2002, bilateral trade amounted to R5-billion.
2002 marked the 10th anniversary of consular relations between South African and Thailand. In 2002, bilateral trade amounted to R5-billion.
Indonesia
Bilateral trade with Indonesia amounted to R2.9-billion in 2002.
Bilateral trade with Indonesia amounted to R2.9-billion in 2002.
Australia
South Africa is Australia's 20th largest export market and 22nd largest trading partner. As with India, relationships with Australia have been boosted by a JMC. Total trade with Australia amounted to R12.8-billion in 2002, with the trade balance in Australia's favour. South Africa is the 17th largest foreign investor in Australia. At the same time, Australian foreign direct investment in South Africa has increased, particular in the mining and agricultural sectors. Major Australian investors in South Africa include mining giants like BHP Billiton and mining consultancy companies like RSG Global from Western Australia.
South Africa is Australia's 20th largest export market and 22nd largest trading partner. As with India, relationships with Australia have been boosted by a JMC. Total trade with Australia amounted to R12.8-billion in 2002, with the trade balance in Australia's favour. South Africa is the 17th largest foreign investor in Australia. At the same time, Australian foreign direct investment in South Africa has increased, particular in the mining and agricultural sectors. Major Australian investors in South Africa include mining giants like BHP Billiton and mining consultancy companies like RSG Global from Western Australia.
Relations between South Africa and New Zealand have been strengthening over the years, and the two regularly work closely in forums such as the Commonwealth and the World Trade Organisation, amongst others. Bilateral trade has been growing over the years. In 2002 South African exports totalled R4.2-billion, and imports R5.7-billion.