“President Cyril Ramaphosa used the BRICS Summit in New Delhi to call for expanded trade, investment, and African infrastructure development, positioning South Africa as a gateway to the continent. His appeal comes as South Africa faces a deteriorating current account balance and severe congestion at Durban’s port, threatening export competitiveness.”
South Africa’s international relations under politics reached a pivotal moment today as President Cyril Ramaphosa addressed the 18th BRICS Summit in New Delhi. Against the backdrop of global tensions and domestic economic strains, Ramaphosa’s speech underscored Pretoria’s dual challenge: advancing international trade diplomacy while tackling structural weaknesses at home.
BRICS Context and Expansion
The BRICS bloc—Brazil, Russia, India, China, South Africa, plus new members Egypt, Ethiopia, Iran, UAE, Saudi Arabia, and Indonesia—now represents over 40% of the global population and nearly 30% of global GDP. The summit’s theme, “Building for Resilience, Innovation, Cooperation and Security”, framed Ramaphosa’s agenda:
- Expanding intra-BRICS trade and investment to diversify beyond Western markets.
- Promoting industrialisation and value addition in pharmaceuticals, critical minerals, and EV battery supply chains.
- Mobilising investment in African infrastructure, dovetailing with AfCFTA priorities.
South Africa’s Diplomatic Priorities
Ramaphosa emphasized that South Africa’s role in BRICS is not merely symbolic but strategic. Pretoria seeks to leverage BRICS partnerships to strengthen regional integration and position itself as a gateway to African markets. His remarks at the BRICS Business Forum highlighted opportunities in:
- Trade and supply chains
- Agriculture and women-led development
- Digital economy and innovation
Domestic Trade Challenges
Despite ambitious international goals, South Africa’s trade fundamentals are under strain:
- Current account deficit: Shifted from a surplus of R181.6 billion in Q1 2026 to a deficit of R205.5 billion in Q2 2026.
- Merchandise trade surplus: Fell sharply from R428.8 billion to R146.4 billion due to surging imports.
- Terms of trade deterioration: Import prices rose faster than export prices, eroding competitiveness.
These figures highlight structural vulnerabilities—heavy reliance on commodity exports, rising demand for manufactured imports, and exposure to global price shocks.
Durban Port Crisis
The Durban port, handling over 60% of South Africa’s container traffic, faces severe congestion:
- Offshore waiting times of 8–12 days for container ships.
- Transition to the NAVIS N4 terminal system worsened bottlenecks.
- Industry frustration: The Southern African Association of Freight Forwarders demanded urgent government intervention.
Prolonged inefficiencies risk undermining export reliability, discouraging foreign investment, and raising costs for domestic producers.
Global Governance Reform
Ramaphosa also joined calls for reforming the United Nations system, international financial architecture, and multilateral trading system. His participation in the closed BRICS Leaders’ session on “Inclusive Global Governance and Strengthening Multilateralism” reflected South Africa’s commitment to a more representative global order.
Geopolitical Backdrop
The summit unfolded amid global tensions:
- Conflicts in Ukraine and the Middle East.
- Escalating trade wars and sanctions.
- Widening rifts between the United States and European allies.
Ramaphosa’s message positioned South Africa as a voice for the Global South, advocating unity within the expanded BRICS membership.
Bilateral Engagements
Beyond multilateral diplomacy, Ramaphosa held bilateral meetings with Indian leaders to enhance South Africa–India trade and investment, particularly in pharmaceuticals, infrastructure, and critical minerals. He also addressed the India-South Africa Business Leadership Roundtable, encouraging Indian FDI in EV battery supply chains.
Conclusion
President Ramaphosa’s push for stronger BRICS trade and governance reform reflects both opportunity and urgency. While South Africa seeks to expand its international influence, domestic challenges—especially Durban port congestion and a deteriorating trade balance—threaten to undermine its ambitions. The summit marks a defining moment in Pretoria’s international relations under politics, balancing global diplomacy with pressing national reforms.
