More sanctions on the cards for South Africa

 ·13 Apr 2025

An American conservative think-tank with strong ties to the current US administration has warned South Africa that broad sanctions against the country are still possible.

As reported by the Sunday Times, the Hudson Institute warned South Africa that the US could impose broad sanctions against South Africa, including exclusion from the SWIFT global banking system.

The first suggestion for South Africa’s removal from SWIFT, the Worldwide Interbank Financial Telecommunication, emerged in 2022 due to South Africa’s neutral stance on Russia’s invasion of Ukraine.

Exclusion from the platform was applied to Russian banks in 2022. It limits a country’s ability to use cross-border payments, severely limiting trade.

On top of South Africa’s support of Russia, the country has drawn the ire of new US officials after taking Israel to the International Court of Justice on genocide charges.

The Department of International Relations and Cooperation dismissed the Hudson Institute’s expectations that South Africa conduct its affairs only in the interest of the USA while undermining its own national interests.

Joshua Meservey, a senior fellow at the institute, said that complete sanctions on South Africa are possible. However, he hopes that broad-based exclusions do not take place.

He believes in targeted sanctions as broad, indiscriminate measures like removing South Africa from SWIFT, which will result in collateral damage outside of the intended targets.

Meservey’s wish could come through after US Congressman Ronny Jackson introduced the US-South Africa Bilateral Relations Review Act of 2025 earlier this month.

Jackson said the proposed legislation would help US President Trump’s foreign policy agenda by giving him the tools necessary to impose sanctions on South African officials who support America’s adversaries.

“South Africa has brazenly abandoned its relationship with the United States to align with China, Russia, Iran, and terrorist organisations, a betrayal that demands serious consequences,” said Jackson.

“This legislation ensures we conduct a comprehensive review of this supposed ‘ally’ while also holding accountable any corrupt officials.”

The Bill states that leading US officials will submit a classified report, including a list of senior South African government officials and ANC leaders that Trump determines have engaged in corruption or human rights abuses.

The report will also include reasoning for the person’s inclusion on the list and the expected timeline for sanctions. 

Tensions are high

Another source of tension between South Africa and the world’s largest economy has been the recently passed Expropriation Act and a supposed genocide of white farmers.

US Congressman Troy Nehls introduced the “Afrikaner” Act to the American legislature, which will give Afrikaans South Africans Priority-2 refugee status.

Nehls further Trump’s views that the treatment of Afrikaners in South Africa is a human rights violation, claiming that they face persecution based on their race, ethnicity, or ancestry.

Nehls referred to the enactment of the Expropriation Act earlier this year, which, he claims, allows the government to confiscate Afrikaners’ private property without compensation forcefully.

The South African government has noted that the Act only allows for expropriation without compensation in particular circumstances and follows stringent procedures.

The Department of Public Works, whose Minister Dean Macpherson has been a vocal critic of the Expropriation Act, recently said there had been no land expropriation over the last year.

Although the new law allows the state to expropriate land for the public good, it does not explicitly target Afrikaners and gives landowners protections.

President Trump has also thrown doubt over attending the G20 meeting in South Africa later this year, citing concerns over land confiscation and violence.

“They are taking the land of white farmers and then killing them and their families. The United States has held back all contributions to South Africa. Is this where we want to be for the G20? I don’t think so,” said Trump.

The South African Police Service (SAPS) data shows that farm murders make up a minute percentage of the total murders. Afrikaaner interest group AfriForum has questioned the SAPS’ figures.

Despite the heightened tensions with the USA, South Africa recently received some relief after US President Trump lowered the tariffs on South African goods from 30% to the global minimum of 10%.

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