Mantashe says deal on SA minerals unlikely to be on the table as Ramaphosa meets Trump

JOHANNESBURG - Minerals and Petroleum Resources Minister, Gwede Mantashe, said a deal on the country’s critical minerals is unlikely to be on the table at the Oval Office when President Cyril Ramaphosa meets with his United States (US) counterpart, Donald Trump.

Mantashe, who is also the acting president in Ramaphosa’s absence, briefed the media on the Critical Minerals and Metals Strategy in Cape Town on Tuesday.

This is part of what the government says is a broader tactic to tighten the policy framework for the critical minerals sector and streamline regulations.

Africa is said to hold 30% of the world's critical mineral reserves, such as manganese, graphite, nickel, lithium and copper.

The US relies on South African metals and minerals that are essential for its economy and national security, making metals and minerals the biggest South African exports to the US.

According to the Institute for Global Dialogue, in 2021, platinum group metals were almost half of South Africa’s exports to the US, and nearly 100% of the US’s global chromium supply.

When Trump slapped the world with higher import tariffs, he put gold, platinum group metals, copper, and zinc on a list of exemptions.

Some economists said SA’s minerals could be the Trump card the country needs at the negotiating table when diplomats talk trade and race policies in Washington.

But Mantashe said otherwise.

“I would imagine that the US would try to put the issue of minerals on the table, but I doubt if the South African delegation will commit South Africa on its minerals. They may have issues, but that will have to come back for a discussion in the country.

“Any decision on that front will have to involve us, it will have to involve the Mineral Council, labour, and then we can make proposals. But our emphasis remains, our critical minerals must be enriched close to the place of production and that delegation in the US understands that fully,” added Mantashe.

That aside, there are also semantics involved with calls for a new definition on critical minerals - one that differentiates between what is genuinely vital to a country, and what is just something of importance.

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