Overview of best prospect sectors, major infrastructure projects, significant government procurements and business opportunities.
Last Published: 7/14/2019

•              As the most advanced, broad-based economy on the continent, South Africa still offers exporters and investors a diverse and mature economy with vibrant financial and other service sectors, as well as preferential access to export markets in the United States, the European Union, and the Southern African Development Community (SADC).        
       
•              Commercial standards are generally like those in most developed economies; U.S. investors find local courts fair and consistent, and institutions are well developed. Similarly, democratic life is well established with transparent and contested elections; an appreciation for the rule of law; a free, vibrant, and outspoken press; and citizens maintaining significant pride in the constitution and the peaceful formation of the post-apartheid state.

•              Despite socio-economic and political uncertainties, South Africa is still a destination largely conducive to U.S. investment, and should remain so as the dynamic business community is highly market-oriented and the driver of economic growth. South Africa offers ample opportunities and continues to attract investors seeking a location to access the rest of the African continent.
Several factors benefit U.S. exports:

  • largely sophisticated financial, legal, and business services sectors;
  • extensive transportation infrastructure;
  • South Africa’s position as an entryway to other countries and markets in Sub-Saharan Africa;
  • the strong reputation enjoyed by U.S.-branded goods; and
  • the presence of strong, capable South African companies that can serve as good partners for trade and investment.

In general, the best prospects for exports are in capital goods, though opportunities exist in a wide range of consumer products, services, and franchising. Due to cyclical, structural and regulatory/policy challenges in the economy, Government capital and operational spending has been a hotly debated political issue since 2016, and the triple deficit (trade, budget, and households) suggests that economic growth will remain slow for the medium term. 

Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.