<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="4092" height="2493" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/03/Z7OUSBHECZMJVEHQT7G2AZVSQU-1.avif" alt="" class="wp-image-593738"/><figcaption class="wp-element-caption">South African Rand coins are seen in this illustration picture taken October 28, 2020. REUTERS/Mike Hutchings/Illustration/File Photo</figcaption></figure>



JOHANNESBURG, April 11 (Reuters)&nbsp;&#8211;&nbsp;The rand gained in early trade on Friday, making a cautious recovery after this week&#8217;s global tariff turmoil, but worries lingered over U.S. President Donald Trump&#8217;s next trade move and over whether South Africa&#8217;s coalition government might split.



At 0720 GMT the rand traded at 19.3675 against the dollar, roughly 0.5% stronger than Thursday&#8217;s closing level.



The risk-sensitive currency has been highly volatile this week.



It fell steeply on Monday and Tuesday and hit a record low against the dollar on Wednesday, before staging a sharp relief rally after Trump announced a 90-day pause in higher tariff rates on dozens of trading partners including South Africa.



Analysts said the rand would continue to move on global developments in Trump&#8217;s tariff war, as well as local headlines on the future of the market-friendly coalition government.



The two biggest parties in the coalition, the African National Congress (ANC) and the pro-business Democratic Alliance (DA), clashed over the budget last week, with the DA voting against it in parliament and challenging it in court.



The ANC and DA are due to meet on Saturday to discuss the budget impasse.



The benchmark 2030 government bond was marginally weaker in early deals, as the yield rose 1 basis point to 9.25%.



(Reporting by Sfundo Parakozov; Editing by Alexander Winning and Gareth Jones)

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South African rand stages cautious recovery, tariff and coalition worries linger

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="4987" height="3325" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/04/AVUKD6NDQRNW5H4WASP4IO5AFM.avif" alt="" class="wp-image-608214"/><figcaption class="wp-element-caption">Chinese Commerce Minister Wang Wentao attends a meeting with global business leaders at the Great Hall of the People in Beijing, China, March 28, 2025. REUTERS/Florence Lo/File Photo</figcaption></figure>



BEIJING, April 11 (Reuters)&nbsp;&#8211;&nbsp;China&#8217;s Commerce Minister Wang Wentao had discussions with his Saudi Arabian and South African counterparts to exchange views on responding to the United States&#8217; &#8220;reciprocal tariffs&#8221;, the Chinese ministry said on Friday.



The conversations took place over separate video calls on Thursday in which China discussed strengthening bilateral economic and trade cooperation with Saudi Arabia and South Africa.



Wang also spoke to Saudi Arabia&#8217;s Commerce Minister Majid bin Abdullah al-Qasabi about enhancing cooperation with countries within the Gulf Cooperation Council, while G20 and BRICS&#8217; roles were brought up in his conversation with South Africa&#8217;s Parks Tau.



The Chinese commerce ministry&#8217;s statements did not elaborate on the discussions.



(Reporting by Liz Lee, Yukun Zhang and Shanghai newsroom; Editing by Jacqueline Wong)

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China speaks with Saudi Arabia, South Africa about response to US tariffs

How Trump’s China Tariffs Could Shutter Amazon Sellers In The U.S.

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="593" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/04/GMDZRSA6BRKDPKJ2BPS5RJ25YA-820x593.jpg" alt="" class="wp-image-607969" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/04/GMDZRSA6BRKDPKJ2BPS5RJ25YA-820x593.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/GMDZRSA6BRKDPKJ2BPS5RJ25YA-300x217.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/GMDZRSA6BRKDPKJ2BPS5RJ25YA-124x90.jpg 124w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/GMDZRSA6BRKDPKJ2BPS5RJ25YA-768x556.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/GMDZRSA6BRKDPKJ2BPS5RJ25YA-1536x1111.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/GMDZRSA6BRKDPKJ2BPS5RJ25YA-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">The Fitch Ratings logo is seen at their offices at Canary Wharf financial district in London,Britain, March 3, 2016. REUTERS/Reinhard Krause</figcaption></figure>



JOHANNESBURG, April 10 (Reuters)&nbsp;&#8211;&nbsp;Pressure from U.S. aid freezes and global trade tension is unlikely to result in widescale credit downgrades in Africa, Fitch Ratings said on Thursday.



The impact of tariffs on Africa is limited, Fitch said, due to the region&#8217;s export composition and weaker integration into global supply chains compared to a region such as Asia.



But Sub-Saharan Africa has been one of the largest recipients of funds disbursed by the United States Agency for International Development (USAID) which was frozen by executive order of U.S. President Donald Trump.



Nonetheless, South Africa, Namibia and Ivory Coast remain relatively shielded from recent events, Paul Gamble, head of Middle East/Africa in Fitch’s Sovereign Ratings Group, said.



And Nigeria and the Seychelles both hold positive credit outlooks from Fitch Ratings &#8211; an indication that a rating is expected to be raised in the future &#8211; thanks to ongoing reforms, he told a webinar.



&#8220;The reforms that we&#8217;ve seen really put the region in a better position to absorb some of these shocks,&#8221; Gamble.



&#8220;The impact for the ratings looks manageable.&#8221;



However, the freeze on U.S. foreign aid was not without negative consequences, Fitch said.



Some of the poorest nations were at risk for having projects come to an abrupt end and would see fiscal stability come under pressure. Ethiopia received U.S. assistance worth around 80% of its foreign exchange reserves, with Mozambique, Uganda, and Lesotho also seen at risk.



&#8220;African-owned multilateral banks might become more important institutions in this shifting landscape,&#8221; Arnaud Louis, senior director at Fitch, said on the webinar.



Gamble also pointed to Washington&#8217;s pivot to strategic investments in minerals in Africa as potentially becoming a new sphere for the trade tensions as it could intensify competition on the continent with China.



&#8220;Africa will be a playing field for U.S.-China tensions,&#8221; said Gamble. The U.S. interest is becoming &#8220;more opportunistic, transactional&#8221; focusing on access to minerals and rare earths rather than broad-based development, he said.



The Trump administration has said it wants to invest billions of dollars in the Democratic Republic of Congo. Congo&#8217;s minerals, which are used in mobile phones and electric cars, are currently dominated by China and its mining companies.



(Reporting by Colleen Goko; Editing by Alison Williams)

The Fitch Ratings logo is seen at their offices at Canary Wharf financial district in London

African credit ratings can absorb aid cuts and trade strains, Fitch says

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="461" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108127404-1744022846334-gettyimages-968561798-_DSC2829-820x461.jpeg" alt="" class="wp-image-607937" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108127404-1744022846334-gettyimages-968561798-_DSC2829-820x461.jpeg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108127404-1744022846334-gettyimages-968561798-_DSC2829-300x169.jpeg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108127404-1744022846334-gettyimages-968561798-_DSC2829-160x90.jpeg 160w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108127404-1744022846334-gettyimages-968561798-_DSC2829-768x432.jpeg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108127404-1744022846334-gettyimages-968561798-_DSC2829-1536x864.jpeg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108127404-1744022846334-gettyimages-968561798-_DSC2829.jpeg 1600w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">In this photo illustration, a double exposure images shows U.S. President Donald Trump against the EU flag. Sopa Images | Lightrocket | Getty Images</figcaption></figure>



The European Union will pause the adoption of its retaliatory tariffs on a swathe of U.S. goods for 90 days, European Commission President Ursula von der Leyen said, a day after the White House issued a reprieve on most of its own levies.



On Wednesday, EU members voted in favor of the package, which was designed in response to the U.S. 25% tariffs on steel and aluminum launched last month. The duties were due to be finalized in the coming days, with an initial tranche set to come into effect on April 15. The full list of targeted items has not yet been published, though a draft document seen by CNBC in March listed products spanning clothing, poultry, grains, machinery and more.



“We took note of the announcement by President Trump. We want to give negotiations a chance,” von der Leyen said on Thursday.



“If negotiations are not satisfactory, our countermeasures will kick in. Preparatory work on further countermeasures continues. As I have said before, all options remain on the table.”



As well as Trump’s 25% duties on steel, aluminum and autos, the EU was hit with a 20% U.S. tariff rate on almost all goods as part of the sweeping duties announced last week.



Trump on Wednesday jolted markets when he revealed the reduction of new tariff rates on imports from most U.S. trade partners to 10% for 90 days to allow for trade negotiations.



U.S. stock markets soared on the news, while Asia-Pacific and Europe joined the rally on Thursday. The euro was 1.2% higher against the U.S. dollar at midday London time on Thursday, trading at $1.1079.



In a statement earlier Thursday, von der Leyen said she welcomed the pause of Trump’s full “reciprocal tariff” plan, calling it an “important step towards stabilizing the global economy.”



“Tariffs are taxes that only hurt businesses and consumers. That’s why I’ve consistently advocated for a zero-for-zero tariff agreement between the European Union and the United States,” she said.



As well as negotiating with the U.S. and forming countermeasures, the EU says it is also strengthening and diversifying its other trade relationships and reducing friction in its single market in response to Trump’s actions.



EU relations with the U.S. have soured significantly this year. Trump has repeatedly accused the 27-nation bloc of treating the U.S. “very unfairly” due to the imbalance in their trade in goods.



Across goods, services and investment, trade between the two economies is roughly equal, leading to questions over whether the EU could resort to targeting U.S. services including technology in its response.

108127404-1744022846334-gettyimages-968561798-_DSC2829

European Union to put countermeasures to U.S. tariffs on hold for 90 days

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="2048" height="1365" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/01/A6RAHQABDRIGTJNVXZ2UH7TGEQ-scaled.jpg" alt="" class="wp-image-451705" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/01/A6RAHQABDRIGTJNVXZ2UH7TGEQ-scaled.jpg 2048w, https://cms.cnbcafrica.com/wp-content/uploads/2024/01/A6RAHQABDRIGTJNVXZ2UH7TGEQ-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/01/A6RAHQABDRIGTJNVXZ2UH7TGEQ-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/01/A6RAHQABDRIGTJNVXZ2UH7TGEQ-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/01/A6RAHQABDRIGTJNVXZ2UH7TGEQ-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/01/A6RAHQABDRIGTJNVXZ2UH7TGEQ-1536x1024.jpg 1536w" sizes="auto, (max-width: 2048px) 100vw, 2048px" /><figcaption class="wp-element-caption">The headquarters of the African Development Bank (AfDB) are pictured in Abidjan, Ivory Coast, January 30, 2020.REUTERS/Luc Gnago</figcaption></figure>



The United Kingdom says it looks forward to the election of a new leader at the African Development Bank (AfDB) as Akinwumi Adesina’s 10-year tenure ends.



However a spokesperson didn’t say if the country had a particular preference for any of the five candidates vying to lead the Abidjan, Cote D’Ivoire headquartered AfDB, Africa’s biggest development finance bank.



“The selection of the President is important to the Bank’s success and therefore is of key interest to the UK,’’ a spokesperson said in an emailed response to CNBC Africa. “Ultimately, we&nbsp;believe that the selection of this role is a decision for the African region to make collectively. We look forward to continuing to work with the Bank and the next President when their tenure starts next September.”



Ex-World Bank senior official Samuel Maimbo of Zambia is taking on Senegal’s Amadou Hott, ex-special envoy of the bank’s Alliance for Green Infrastructure in Africa, South Africa’s Swazi Tshabalala, a former Vice President, Mauritania’s Sidi Ould Tah, former Director General of the Arab Bank for Economic Development in Africa and Chad’s former Finance Minister Mahamat Tolli.



To win the presidency, a candidate must get a majority of votes from both the African shareholders who own 60 percent of the bank, and non-African shareholders, who are referred to as non-regional members, who control 40%.



Adesina, a former Nigerian agriculture minister, championed Africa’s agriculture as a unique investment opportunity during his term. He also focussed on providing power to the more than 600 million Africans still without electricity, launching an $8 billion project together with the World Bank in January.



The AfDB, the only African financial institution rated triple A by Moody’s, Standard &amp; Poor’s and Fitch, will select the new leader next month.



Its top five shareholders are Nigeria with 8.2%, followed by the United States at 6.6%, Egypt has 5.6% while Japan owns 5.5% and South Africa holds 5.1%.

The headquarters of the African Development Bank (AfDB) are pictured in Abidjan, Ivory Coast

United Kingdom Looks Forward to Working with Next AfDB President

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="410" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/AFREXIMBANK-HQ-scaled-1-820x410.webp" alt="" class="wp-image-536730" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/AFREXIMBANK-HQ-scaled-1-820x410.webp 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/AFREXIMBANK-HQ-scaled-1-300x150.webp 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/AFREXIMBANK-HQ-scaled-1-160x80.webp 160w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/AFREXIMBANK-HQ-scaled-1-768x384.webp 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/AFREXIMBANK-HQ-scaled-1.webp 1024w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Photo: via Flickr</figcaption></figure>



This Thursday, Nigeria will witness the opening of the first Afreximbank African Trade Centre (AATC), a state-of-the-art twin nine-storey office and business hotel complex.



Putting sustainability first, this world-class facility designed to transform Africa’s trade and investment landscape incorporates the very best of green-certified architecture, aligning with global environmental standards.



They say that perception matters. The Abuja AATC offers a new perspective to creating clusters that will help cement business opportunities, change mindset and elevate the business environment across our continent.



Why does this commercial development matter? It does because as the first of many across Africa, it will create new benchmarks in real estate and in corporate workspaces.



The development has an office tower and a 148-bed bespoke four-star business hotel. Boasting top-tier business and trade facilities, it will provide dedicated spaces for trade exhibitions, SME incubation, and conference and business amenities.



Our bank’s model of developing integrated trade services hubs is unique, and one that will be replicated at scale across Africa because the continent needs models that are scalable and replicable.



Our institution was created to provide counter-cyclical support and to drive the transformation of our continent through, amongst others, greater trade.



Our forefathers have been calling for economic self-reliance. These trade centres are going to be hubs for business, fostering innovation and empowering small businesses as well as enhancing global trade participation.



The journey to the launch of the Abuja AATC began in 2018 when the idea of creating trade facilitation hubs in key commercial capitals across Africa was first mooted.&nbsp; Nine leading commercial cities were selected to host the network of AATCs across Africa and the Caribbean. They include Abuja (Nigeria), Harare (Zimbabwe), Kampala (Uganda), Cairo (Egypt), Abidjan (Cote d’Ivoire), Yaoundé (Cameroon), Kigali (Rwanda), Tunis (Tunisia) and Bridgetown (Barbados).



Having received land from Nigeria and Zimbabwe respectively, the projects were launched in November 2021 and September 2022 in Abuja and Harare respectively. Four years later, the Abuja AATC is changing the Abuja cityscape and in August this year, the Harare-AATC will be formally opened too. Construction of the Kampala AATC commenced in November 2024, while the Cairo AATC is planned for September 2025.



These are examples of successful Public-Private Partnerships, working with government, investors and a multilateral development bank. These developments also help us deliver on the vision of our founders to provide bespoke financing solutions and advisory services for the expansion, diversification, promotion and development of Intra- and extra-African trade.&nbsp;



But why the Caribbean you will ask? The Barbados AATC will serve as an authentic beacon of trade by embodying the ambition, resilience, and influence of leading commercial cities in Africa and the Caribbean as well as a dynamic focal point for commerce by fostering regional and global trade connections between Africa and the greater CARICOM region, that comprises 20 countries.



To echo our president, Prof Benedict Oramah, the Barbados AATC will serve as the gateway for Afri-Caribbean trade and investments, creating opportunities for doing business with the Caribbean and for Caribbeans doing business in Africa. Something we have termed the Global Africa narrative.



In an increasingly fragmented world, building bridges is important because the last few years have shown that self-reliance is not only a solution, but an imperative.



This $180 million investment is expected to be completed in 2028. It will create 300 permanent jobs, boost the supply of hotel rooms in Barbados, a country dependent on tourism income and it will also host our CARICOM headquarters. Other facilities include a conference centre, a Small and Medium Enterprises (SME) incubator, a Digital Trade Gateway, a trade and exhibition centre.



Actions matter. Our role is to catalyse investment, trade and development and clusters have proven effective means of catalysing ideas and business opportunities.



The Abuja AATC will be seen as a test case for the viability of the idea and dream of business clusters as catalysts for growth and employment and empowerment.

AFREXIMBANK-HQ-scaled-1

Afreximbank African Trade Centres, catalysing business across Africa and the Caribbean

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="612" height="357" src="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1030878162-612x612-1.jpg" alt="" class="wp-image-400669" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1030878162-612x612-1.jpg 612w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1030878162-612x612-1-300x175.jpg 300w" sizes="auto, (max-width: 612px) 100vw, 612px" /><figcaption class="wp-element-caption">World map with charts and graphs as symbols of global finance</figcaption></figure>



April 10 (Reuters) &#8211; The following company announcements, scheduled economic indicators, debt and currency market moves and political events may affect African markets on Thursday.



<h2 class="wp-block-heading" id="h-events">EVENTS:</h2>



Rwanda&#8217;s statistics office releases consumer inflation data for March.



Mozambique statistics office releases consumer inflation data for March.



<h2 class="wp-block-heading" id="h-global-markets">GLOBAL MARKETS</h2>



Asian shares climbed and a manic bond selloff stabilised on Thursday after U.S. President Donald Trump said he would temporarily lower the hefty duties he had just imposed on dozens of countries.



<h2 class="wp-block-heading" id="h-world-oil-prices">WORLD OIL PRICES</h2>



Oil prices retreated on Thursday as U.S. President Donald Trump ramped up a trade war with China, even as he announced a 90-day pause on tariffs aimed at other countries.



<h2 class="wp-block-heading" id="h-south-africa-markets">SOUTH AFRICA MARKETS</h2>



The rand struck an all-time low in jittery trade on Wednesday, as U.S. President Donald Trump&#8217;s trade war and the risk that South Africa&#8217;s market-friendly coalition government could split unnerved investors.



<h2 class="wp-block-heading" id="h-kenya-markets">KENYA MARKETS</h2>



Kenya&#8217;s shilling was broadly stable against the dollar on Wednesday, data from the London Stock Exchange Group showed.



<h2 class="wp-block-heading" id="h-central-africa-oil">CENTRAL AFRICA OIL</h2>



U.S. lawmakers have introduced legislation that could block International Monetary Fund support for some Central African countries, in an effort to guard billions of dollars that oil companies must set aside for environmental restoration.



<h2 class="wp-block-heading" id="h-us-aid">US AID</h2>



President Donald Trump&#8217;s administration wants the U.N. World Food Programme to modify operations backed by the U.S. in six countries, a State Department spokesperson said on Wednesday, after Washington terminated and then reinstated the assistance.



<h2 class="wp-block-heading" id="h-congo-coup">CONGO COUP</h2>



The U.S. Department of Justice has charged four Americans for their role in an attempted coup in the Democratic Republic of Congo after three of the men were returned to U.S. custody this week, according to a criminal complaint unsealed on Wednesday.



<h2 class="wp-block-heading" id="h-nigeria-cenbank">NIGERIA CENBANK</h2>



Nigeria recorded a balance of payments surplus of $6.83 billion in 2024, driven by the impact of reforms, a stronger trade performance and renewed investor confidence in the economy, the Central Bank of Nigeria said on Monday.



<h2 class="wp-block-heading" id="h-gabon-election">GABON ELECTION</h2>



The top opposition candidate in Gabon&#8217;s presidential election challenged the eligibility of Brice Oligui Nguema in an interview with Reuters, saying the putschist-turned-frontrunner posed a threat to democracy.



((Compiled by Nairobi Newsroom))

World map with charts and graphs as symbols of global finance

African Markets – Factors to watch on April 10

<h2 class="wp-block-heading">Tariff suspension ‘the first right step,’ Polish finance minister says</h2>



<figure class="wp-block-image"><img decoding="async" src="https://image.cnbcfm.com/api/v1/image/108129777-1744272485007-gettyimages-2203945300-BELGIUM_ECOFIN.jpeg?v=1744272514&amp;w=1858&amp;h=1045&amp;vtcrop=y" alt="Andrzej Domanski, Poland's finance minster, during a news conference at the Economic and Financial Affairs Council (ECOFIN) meeting at the European Council headquarters in Brussels, Belgium, on Tuesday, March 11, 2025. EU policymakers are scrambling to ramp up the bloc's defense funding and support for Ukraine after Donald Trump halted aid to Kyiv. Photographer: Simon Wohlfahrt/Bloomberg via Getty Images"/><figcaption class="wp-element-caption">Andrzej Domanski, Poland’s finance minster, during a news conference at the Economic and Financial Affairs Council (ECOFIN) meeting at the European Council headquarters in Brussels, Belgium, on Tuesday, March 11, 2025.  Bloomberg | Bloomberg | Getty Images</figcaption></figure>



Polish Finance Minister Andrzej Domanski welcomed the U.S. temporary suspension of most reciprocal tariffs.



“The first right step towards de-escalation. Less emotion, more focus on economic growth,” he said in a Google-translated social media post.



Poland has historically been a stalwart U.S. ally in Europe, especially in matters of regional security. As a member of the European Union, Poland was struck with 20% reciprocal tariffs under the White House’s April 2 announcement.



—&nbsp;Ruxandra Iordache



<hr class="wp-block-separator has-alpha-channel-opacity"/>



<h2 class="wp-block-heading" id="h-european-markets-soar-at-market-open">European markets soar at market open</h2>



European stocks soared at the Thursday market open, with the Stoxx 600 index up by 7.25% by 8:21 a.m. London time.



All sectors were in the green at the start of the session, with banks, autos and health care logging some of the highest hikes, higher by 9.95%, 7.43% and 7.41%, respectively.



—&nbsp;Ruxandra Iordache



<hr class="wp-block-separator has-alpha-channel-opacity"/>



<h2 class="wp-block-heading" id="h-asean-group-vows-no-trade-retaliation-against-the-u-s">ASEAN group vows no trade retaliation against the U.S.</h2>



The 10-member ASEAN group pledged not to impose any retaliatory measures in response to White House tariffs and to “engage in a frank and constructive dialogue” with Washington on trade relations.



“We regard the U.S. as a longstanding and valued economic partner of ASEAN,” the group said in a statement, adding, “We remain committed to safeguarding ASEAN’s economic interests as well as maintaining strong and mutually beneficial trade relations with the U.S.”



The ASEAN group comprises Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam.&nbsp;



—&nbsp;Ruxandra Iordache



<hr class="wp-block-separator has-alpha-channel-opacity"/>



<h2 class="wp-block-heading" id="h-european-union-welcomes-trump-tariff-reprieve-von-der-leyen">European Union welcomes Trump tariff reprieve: von der Leyen</h2>



<figure class="wp-block-image"><img decoding="async" src="https://image.cnbcfm.com/api/v1/image/108129025-17442032332025-04-09t121419z_1722448607_rc2cudaj8nz6_rtrmadp_0_usa-trump-tariffs-eu.jpeg?v=1744266672&amp;w=1858&amp;h=1045&amp;vtcrop=y" alt="European Commission President Ursula von der Leyen reacts as she meets with Iceland's Prime Minister Kristrun Frostadottir (not pictured), in Brussels, Belgium April 9, 2025. REUTERS/Yves Herman"/><figcaption class="wp-element-caption">European Commission President Ursula von der Leyen looks on as she meets with Iceland’s Prime Minister Kristrun Frostadottir (not pictured), in Brussels, Belgium, on April 9, 2025. Yves Herman | Reuters</figcaption></figure>



European Commission President Ursula von der Leyen welcomed Trump’s decision to pause “reciprocal” tariffs against several nations, adding the bloc “remains committed to constructive negotiations” with the White House.



“It’s an important step towards stabilizing the global economy. Clear, predictable conditions are essential for trade and supply chains to function,” she said in a social media post.



“Tariffs are taxes that only hurt businesses and consumers. That’s why I’ve consistently advocated for a zero-for-zero tariff agreement between the European Union and the United States.”



At the same time, the EU, which on Wednesday voted to approve its first set of retaliatory steps to counter U.S. tariffs on steel and aluminum, is focusing on diversifying its trade partnerships, von der Leyen said.



—&nbsp;Ruxandra Iordache



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<h2 class="wp-block-heading" id="h-trump-unlikely-to-revamp-extreme-tariff-policies-but-the-damage-has-been-done-deutsche-bank">Trump unlikely to revamp extreme tariff policies, but ‘the damage has been done’: Deutsche Bank</h2>



<figure class="wp-block-image"><img decoding="async" src="https://image.cnbcfm.com/api/v1/image/108129447-17442258192025-04-09t190936z_1050014360_rc2judaqjkne_rtrmadp_0_usa-trump.jpeg?v=1744225839&amp;w=1858&amp;h=1045&amp;vtcrop=y" alt="U.S. President Donald Trump speaks during an event with the racing champions from NASCAR Cup Series, NTT IndyCar Series, and IMSA WeatherTech SportsCar Championship, at the White House in Washington, D.C., U.S., April 9, 2025. REUTERS/Nathan Howard"/><figcaption class="wp-element-caption">U.S. President Donald Trump speaks during an event with the racing champions from NASCAR Cup Series, NTT IndyCar Series, and IMSA WeatherTech SportsCar Championship, at the White House in Washington, D.C., U.S., April 9, 2025. Nathan Howard | Reuters </figcaption></figure>



In a note to clients on Wednesday evening, Deutsche Bank Research’s George Saravelos noted that U.S. President Donald Trump had mentioned the bond market during his press conference at the White House that day.



“The administration is finally signalling responsiveness to the very extreme market conditions we highlighted in the morning. At the margin, this should reduce the probability that such an extreme policy mix returns,” Saravelos said.



Stocks on Wall Street surged on Wednesday after Trump announced a 90-day pause on country-specific tariffs, with the exception of new duties on China.



Despite the market response, Saravelos warned that “the damage has been done” by Trump’s reciprocal tariffs policy.



“Even if the tariffs are permanently suspended, damage has been done to the economy via a permanent sense of unpredictability in policy,” Saravelos explained. “The events of the last few weeks will resonate amongst global economic partners during the upcoming negotiations on trade and indeed for many years to come. The desire to build greater strategic independence from the US across all fronts will be here to stay.”



—&nbsp;Chloe Taylor

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Trump tariffs: World reacts as White House issues temporary tariff reprieve; China’s duties kick in

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="463" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/02/2PLENK7UEVP6LHO27XU5VACMUU.avif" alt="" class="wp-image-590509"/><figcaption class="wp-element-caption">South African Rand coins are seen in this illustration picture taken October 30, 2020. REUTERS/Mike Hutchings/Illustration/File Photo</figcaption></figure>



JOHANNESBURG, April 10 (Reuters)&nbsp;&#8211;&nbsp;South Africa&#8217;s rand firmed in early trade on Thursday, recouping some of its recent loss as investors took a breather after U.S. President Donald Trump announced an immediate 90-day tariff pause for many countries.



At 0631 GMT, the rand traded at 19.25 against the U.S. dollar, about 0.4% stronger than its previous close.



The local currency hit a record low of 19.9325 on Wednesday, the day Trump&#8217;s country-specific import tariffs kicked in.



Trump said he would temporarily lower tariffs imposed on dozens of countries including South Africa but kept a 10% blanket duty on almost all U.S. imports.



In addition to Trump&#8217;s tariffs, local politics have also weighed on the risk-sensitive rand, after a contentious budget vote last week threatened the future of the ruling coalition.



The second-biggest party in the coalition, the pro-business Democratic Alliance, voted against key legislation in the budget and challenged the budget process in court.



South Africa-focused investors on Thursday will look out for February domestic manufacturing data due at 1100 GMT for clues on the health of the economy.



Benchmark 2030 government bonds were stronger in early deals, with the yield down 15.5 basis points at 9.15%.



(Reporting by Sfundo Parakozov; Editing by Bhargav Acharya and Christopher Cushing)

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South African rand regains some ground after US pauses tariffs

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="461" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108129074-1744205767394-gettyimages-2208184612-_s019698_miuhqrg1-820x461.jpeg" alt="" class="wp-image-607852" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108129074-1744205767394-gettyimages-2208184612-_s019698_miuhqrg1-820x461.jpeg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108129074-1744205767394-gettyimages-2208184612-_s019698_miuhqrg1-300x169.jpeg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108129074-1744205767394-gettyimages-2208184612-_s019698_miuhqrg1-160x90.jpeg 160w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108129074-1744205767394-gettyimages-2208184612-_s019698_miuhqrg1-768x432.jpeg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108129074-1744205767394-gettyimages-2208184612-_s019698_miuhqrg1-1536x864.jpeg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108129074-1744205767394-gettyimages-2208184612-_s019698_miuhqrg1.jpeg 1600w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption"> U.S. President Donald Trump holds up a chart while speaking during a “Make America Wealthy Again” trade announcement on April 2, 2025 in Washington, DC. Chip Somodevilla | Getty Images News | Getty Images</figcaption></figure>



President Donald Trump on Wednesday dropped new tariff rates on imports from most U.S. trade partners to 10% for 90 days to allow trade negotiations with those countries.



Trump announced the pause hours after goods from nearly 90 nations became subject to stiffer, so-called reciprocal tariffs imposed by the United States.



The president also said in a social media post that he was raising the tariffs imposed on imports from China to 125% “effective immediately” due to the “lack of respect that China has shown to the World’s Markets.”



China, which is the U.S.’s third-largest trading partner, earlier Wednesday said it would increase its tariff rate for imports from the U.S. to 84%.



Trump said “more than 75 Countries” contacted U.S. officials to negotiate after he unveiled his new tariffs last week.



Stock market indices rocketed sharply higher Wednesday on Trump’s announcement, reversing four days of losses. The benchmark S&amp;P 500 index leapt by 7%, which puts it on track for its largest single-day gain in five years.



When asked later about the reason for his decision, Trump told reporters, “Well, I thought that people were jumping a little bit out of line.”



“They were getting yippy, you know, they were getting a little bit yippy, a little bit afraid,” Trump said at the White House.



Treasury Secretary Scott Bessett claimed to reporters that Trump had always intended to put the brakes on the wide-ranging tariffs the president announced last week.



“This was his strategy all along,” Bessent said at the White House, where officials, including him, had denied for days that the tariffs would be suspended.



On April 2, Trump had said he would impose a baseline rate of 10% for tariffs on imports from more than 180 countries.



A subset of 90 countries’ imports would be subject to reciprocal tariffs that took effect Wednesday. Those enhanced levies ranged from a low of 11% to a high of 50%.



Financial markets have been in turmoil since Trump announced with plan, with U.S. stock markets suffering four straight days of declines as of Tuesday.



Senate Minority Leader Chuck Schumer, D-NY, criticized Trump on Wednesday,, saying the president “is feeling the heat from Democrats and across America about how bad these tariffs are.”



“He is reeling, he is retreating, and that is a good thing,” said Schumer.



“This is government by chaos,”&nbsp;Schumer said,&nbsp;“He keeps changing things from day to day. His advisers are fighting among themselves, calling each other names, and you cannot run a country with such chaos, with such unpredictability, with such lack of understanding of what’s going on in the world and the facts.



Commerce Secretary Howard Lutnick, in a tweet, said that he and Treasury Secretary Scott Bessent sat with Trump while he wrote out the announcement on Truth Social, “one of the most extraordinary Truth posts of his Presidency.”



“The world is ready to work with President Trump to fix global trade, and China has chosen the opposite direction,” Lutnick wrote.

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Trump temporarily drops tariffs to 10% for most countries, hits China harder with 125%

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="507" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-820x507.jpg" alt="" class="wp-image-533970" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-820x507.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-300x186.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-145x90.jpg 145w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-768x475.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-1536x950.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">South African bank notes featuring images of former South African President Nelson Mandela (R) are displayed next to the American dollar notes in this photo illustration in Johannesburg August 13 2014. REUTERS/Siphiwe Sibeko/File Photo</figcaption></figure>



JOHANNESBURG, April 9 (Reuters)&nbsp;&#8211;&nbsp;South Africa&#8217;s rand touched a new all-time low against the U.S. dollar on Wednesday, under pressure from global risk aversion over U.S. President Donald Trump&#8217;s tariffs and uncertainty about the future of the local coalition government.



The rand fell as low as 19.9325 to the dollar, weaker than the previous record low of 19.9075 struck in June 2023, data from the London Stock Exchange Group showed.



This is a developing story&#8230;



(Reporting by Tannur Anders; Editing by Alexander Winning)

Photo illustration of South African bank notes displayed next to the American dollar notes in Johannesburg

South Africa’s rand touches new record low against dollar

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="728" height="487" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1.jpg" alt="" class="wp-image-568119" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1.jpg 728w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1-300x201.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1-135x90.jpg 135w" sizes="auto, (max-width: 728px) 100vw, 728px" /><figcaption class="wp-element-caption">South African bank notes featuring an image of former South African President Nelson Mandela are displayed at an office in Johannesburg, File. REUTERS/Siphiwe Sibeko</figcaption></figure>



JOHANNESBURG, April 9 (Reuters) &#8211; The South African rand traded near an all-time low against the dollar on Wednesday, bruised by global risk aversion linked to U.S. President Donald Trump&#8217;s tariffs and uncertainty over the future of the country&#8217;s ruling coalition.



The rand fell as low as 19.83 to the dollar in choppy trade, not far from the weakest it has ever traded at 19.9075 in June 2023.



At 1305 GMT it was at 19.8050, down 0.2% on the day and more than 3% weaker so far this week.



&#8220;The past few trading sessions have been a wild ride, and there are no indications as yet that the volatility is about to end,&#8221; said Danny Greeff, co-head of Africa at ETM Analytics.



The South African currency is highly susceptible to shifts in financial market sentiment, which has soured badly over Trump&#8217;s&nbsp;global tariff&nbsp;war.



U.S. tariffs on dozens of countries kicked in on Wednesday, while China was hit with 104% duties. China said it will impose 84% tariffs on U.S. goods from Thursday, up from the 34% previously announced.



Another important factor behind the rand&#8217;s recent slide is local politics,&nbsp;which some analysts think has outweighed global developments.



The two biggest parties in the broad coalition government have disagreed sharply over the budget, with the junior partner voting against it in parliament and going to court.



Despite both parties saying on Tuesday that they are not yet walking away from the Government of National Unity (GNU), investors are still worried at the prospect that the pro-business Democratic Alliance could exit government.



&#8220;Optimism around the GNU&#8217;s ability to implement much-needed reforms is fading quickly. That being said, as more time passes with the coalition still intact, the market may begin to view current trading levels as attractive,&#8221; said Greeff at ETM Analytics.



On the Johannesburg Stock Exchange, the Top-40 index last traded down 1.8%.



The benchmark 2030 government bond also dropped, as the yield rose 10.5 basis points to 9.305%.



(Reporting by Sfundo Parakozov and Tannur Anders; Editing by Alexander Winning and Sharon Singleton)

rand2 (1)

South African rand near record low on tariff war, coalition friction

Why oil companies may not love Trump’s ‘drill

Why oil companies may not love Trump’s ‘drill, baby, drill’ agenda

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="461" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108126463-1743765627495-gettyimages-2198947496-_ha_0099_eetz0vnk-820x461.jpeg" alt="" class="wp-image-607599" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108126463-1743765627495-gettyimages-2198947496-_ha_0099_eetz0vnk-820x461.jpeg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108126463-1743765627495-gettyimages-2198947496-_ha_0099_eetz0vnk-300x169.jpeg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108126463-1743765627495-gettyimages-2198947496-_ha_0099_eetz0vnk-160x90.jpeg 160w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108126463-1743765627495-gettyimages-2198947496-_ha_0099_eetz0vnk-768x432.jpeg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108126463-1743765627495-gettyimages-2198947496-_ha_0099_eetz0vnk-1536x864.jpeg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108126463-1743765627495-gettyimages-2198947496-_ha_0099_eetz0vnk.jpeg 1920w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">European flags fly in front of the Berlaymont building. Omar Havana | Getty Images News | Getty Images</figcaption></figure>



The European Union on Wednesday voted to approve its first set of retaliatory measures to counter tariffs imposed by the U.S. on steel and aluminum.



The European Commission, the bloc’s executive arm, said duties would start being collected from April 15. The response package was unveiled last month targeting a range of goods.



The 27-nation bloc had warned it would act to protect European business and consumers after U.S. President Donald Trump imposed 25% duties on the metals.



“The EU considers US tariffs unjustified and damaging, causing economic harm to both sides, as well&nbsp;as the global economy. The EU has stated its clear preference to find negotiated outcomes with the&nbsp;US, which would be balanced and mutually beneficial,” the European Commission said.



The EU also faces tariffs of 20% on almost all its U.S. imports, as part of Trump’s targeting of over 180 countries and territories, as announced by the White House leader on April 2.



European Commission President Ursula von der Leyen at the time said the EU was ready to retaliate unless negotiations with the U.S. administration were successful.



“We are prepared to respond,” she said, adding that the EU was preparing for further countermeasures to protect its interests and businesses. But, von der Leyen also called for talks with the U.S., saying it was “not too late to address concerns through negotiations.”



Maros Sefcovic, the EU’s commissioner for trade and economic security, said Monday that the bloc would start collecting a first tranche of tariffs on U.S. imports from April 15, with a second set of measures following on May 15.



The U.S. tariffs are impacting 380 billion euros ($420.45 billion) worth of Europe’s exports to the United States, amounting to around 70% of total exports, Sefcovic said during a press briefing.



“To put it in perspective, that’s over 80 billion euros in duties, an eleven-fold jump from the 7 billion [euros] the U.S. currently collects,” he added.

108126463-1743765627495-gettyimages-2198947496-_ha_0099_eetz0vnk

European Union approves first set of retaliatory tariffs on U.S. imports

Perceived safety is critical for wide driverless car adoption: Pony.ai CEO

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="462" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108128829-1744178966635-gettyimages-1156616263-dji_0090-edit-820x462.png" alt="" class="wp-image-607580" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108128829-1744178966635-gettyimages-1156616263-dji_0090-edit-820x462.png 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108128829-1744178966635-gettyimages-1156616263-dji_0090-edit-300x169.png 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108128829-1744178966635-gettyimages-1156616263-dji_0090-edit-160x90.png 160w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108128829-1744178966635-gettyimages-1156616263-dji_0090-edit-768x432.png 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/04/108128829-1744178966635-gettyimages-1156616263-dji_0090-edit.png 1480w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A container cargo ship at a port terminal in Thailand. Mr.cole_photographer | Moment | Getty Images</figcaption></figure>



Many companies had been steadily reducing their reliance on China as a manufacturing hub since President Donald Trump’s first term, hoping to blunt the impact of punitive levies from the United States. Then his latest “reciprocal” tariffs came along.



Trump’s move to impose tariffs on goods&nbsp;on a broader swathe of countries&nbsp;is now putting those diversification plans in disarray and leaving companies scrambling to decide where and how their goods are produced.



Steve Greenspon, CEO of Illinois-based houseware company Honey-Can-Do International, started moving more of his production from China to Vietnam during Trump’s first presidential term. The company supplies household durables such as shelving units, coat hangers and laundry hampers to U.S. retail giants such as Walmart, Target and Amazon.



The company relied on Chinese suppliers for as much as 70% of its products before Trump’s first term. That share has since fallen to less than a third as Vietnam and Taiwan have become increasingly important as sourcing destinations.



News of high tariffs on Taiwan and Vietnam stings, given the significant investments made, Greenspon said.



“It’s crushing to our company. It is disappointing. It is saddening. It’s frustrating,” Greenspon said.



“As a U.S.-based company, this is incredibly hurtful that our own government is doing this to us,” he said, noting that moving production back to the U.S. is not an option, given high labor costs and the absence of the requisite infrastructure.



The tariffs will only force businesses to charge higher prices from consumers, eventually making these products’ pricing less competitive, he said.



Trump’s trade war with China in his first term fueled the “China Plus One” strategy, which saw many manufacturers shift part of their production away from China to other Asian countries with lower labor costs and moderate tariff risks from the U.S.



But after Trump’s latest announcement of a much broader tariff regime — including a minimum 10% baseline tariff on all countries and much higher tariff rates on certain Asian economies — firms that adhered to “China Plus One” may be forced to reevaluate their options.



“The ‘China Plus One’ strategy has been severely undercut by Trump’s tariffs that have by now encompassed every U.S. trading partner,” Eswar Prasad, professor of international trade and economics at Cornell University, told CNBC.&nbsp;



“The viability of rerouting output and restructuring supply chains through countries such as Vietnam and India, with whom the U.S. had more constructive trading relationships, has been shattered by the latest round of tariffs,” he added.&nbsp;



India and Vietnam were two major beneficiaries of that shift away from China, particularly in the apparel and consumer electronics sectors. American tech giant Apple, for example, has been producing more products in both countries. 



Imports from India, Vietnam and Taiwan are now hit with additional levies totaling 26%, 46% and 32%, respectively. A punitive 104% tariff on China also took effect Wednesday.



According to Prasad, the high level of tariffs imposed on U.S. imports from China means that there is still an advantage in routing supply chains through countries subject to relatively lower tariffs.&nbsp;



“However, the entire logic underpinning global supply chains as a means to cut costs and improve efficiency has been decimated by tariffs,” he said, adding that it will substantially add to the costs of maintaining “lean and mean supply chains” that cross national borders, often many times over.&nbsp;



<h2 class="wp-block-heading" id="h-shifting-ground"><a></a>Shifting ground</h2>



Economic and supply chain experts note that the sincerity of Trump’s tariff rates remains uncertain, with many expecting them to be lowered based on negotiations between the Trump administration and individual countries.



Daniel Newman, CEO and chief analyst at tech-focused research firm The Futurum Group, told CNBC he doesn’t believe the tariffs will stay in their current form, and while he expects “more fair trade deals” will be made with trading partners such as Vietnam and India, the China-U.S. outcome is far less certain.



There have been signs that Vietnam and India intend to bargain with Trump on trade terms. Still, the uncertainty surrounding these negotiations poses a dilemma for companies.



“I have spoken to a few CEOs and business leaders that have talked about their workarounds over the last decades potentially being problematic and the current uncertainty making it nearly impossible to build sufficient mitigation plans for really any time horizon,” Newman said.&nbsp;



According to Newman, businesses affected by the tariffs will diligently work with their supply chain teams to determine the proper mitigation strategy. But, “if the tariffs stick in their current form, some of the China Plus One investments made could prove to have been in vain,” he added.&nbsp;



<h2 class="wp-block-heading" id="h-wait-and-see-nbsp"><a></a>Wait and see?&nbsp;</h2>



As trade negotiations unfold, many companies are waiting before altering any production plans.&nbsp;



“I think they’ll wait to see how things settle out. Countries, including Vietnam, are trying to bargain with Trump. I can’t predict how that will turn out, but companies will likely wait to see if it leads to reduced tariffs,” said William Reinsch, Scholl chair in international business at the Center for Strategic and International Studies.&nbsp;



If those bilateral negotiations fail, companies will be forced to consider further tariff arbitrage over the long term — moving parts of their supply chains to countries with lower tariffs, he added.&nbsp;



According to the Trump administration, tariffs are part of a plan to bring about a massive resurgence of U.S. manufacturing. Some experts told CNBC that a certain amount of onshoring and investment back in the U.S. will likely occur in particular industries.&nbsp;



“Faced with a highly uncertain and volatile landscape of tariffs and other trade restrictions, corporations are likely to emphasize resilience rather than efficiency of supply chains,” said Prasad.&nbsp;



“This could mean a greater degree of reshoring of production [to the U.S.] as well as friend-shoring to countries that are at least seen as geopolitical allies of the U.S.,” Prasad added.&nbsp;



However, moving production can be a long, capital-intensive process for many supply chains, especially those in high-tech industries.



For example, Apple’s partner Foxconn took a number of years to begin producing cutting-edge iPhones in India, and the factories reportedly encountered many struggles.



“Investments in factories once made cannot be easily or instantaneously reversed&#8230; Moving those factories to another destination will take several years,” said Arthur Dong, professor of strategy and economics at Georgetown University.



Additionally, depending on the industry, firms are constrained by various factors when considering shifts in supply chains, such as the availability of supply inputs, infrastructure, the quality and cost of local labor, regulation and governance.&nbsp;



Such factors leave companies with a difficult decision, said Dong, who added that some may choose to ride out the storm on supply chains for Trump’s three- to four-year term, hoping for a change in U.S. politics in the upcoming midterm elections.

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South African rand near record low on tariff war, coalition friction

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South African rand stages cautious recovery, tariff and coalition worries linger

China speaks with Saudi Arabia, South Africa about response to US tariffs

How Trump’s China Tariffs Could Shutter Amazon Sellers In The U.S.

African credit ratings can absorb aid cuts and trade strains, Fitch says

European Union to put countermeasures to U.S. tariffs on hold for 90 days

United Kingdom Looks Forward to Working with Next AfDB President

Afreximbank African Trade Centres, catalysing business across Africa and the Caribbean

African Markets – Factors to watch on April 10

Trump tariffs: World reacts as White House issues temporary tariff reprieve; China’s duties kick in

South African rand regains some ground after US pauses tariffs

Trump temporarily drops tariffs to 10% for most countries, hits China harder with 125%

South Africa’s rand touches new record low against dollar

South African rand near record low on tariff war, coalition friction

Why oil companies may not love Trump’s ‘drill, baby, drill’ agenda

European Union approves first set of retaliatory tariffs on U.S. imports

Perceived safety is critical for wide driverless car adoption: Pony.ai CEO

Trump’s tariff plan is throwing into disarray companies’ efforts to diversify out of China

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