South Africa will likely keep its preferential access to US markets because hundreds of American firms are also benefitting, according to the nation\u2019s ambassador to BRICS.<\/p>\n\n\n\n
\u201cI don\u2019t think there is any serious threat of us losing preferential access to (the African Growth and Opportunity Act). AGOA is not a one-way issue, trade is not a one-way issue,\u201d Anil Sooklal said at a Bloomberg conference in Johannesburg on Monday. <\/p>\n\n\n\n
\u201cYou have 600 US companies doing business in South Africa. Are they going to turn their backs on that?\u201d<\/p>\n\n\n\n
South Africa has asked the US to consider an early extension of the African Growth and Opportunity Act, which expires in 2025.<\/p>\n\n\n\n
But some US lawmakers have pushed the Biden administration to review South Africa\u2019s access to AGOA, amid frustration over the country\u2019s non-aligned position toward Russia\u2019s invasion of Ukraine and because they deem it too developed to qualify.<\/p>\n\n\n\n
Tensions also spiked earlier this year when the US ambassador to South Africa, Reuben Brigety, accused it of supplying arms to Russia \u2014 an allegation Pretoria denied.<\/p>\n\n\n\n
BRICS leaders from Brazil, Russia, India, China and South African will take part in a summit in Johannesburg next week, with Russian President Vladimir Putin participating virtually.<\/p>\n\n\n\n
South Africa, which last year exported $2.7 billion (R50 billion) of goods using AGOA and the so-called Generalized System of Preferences, will host an AGOA summit later this year.<\/p>\n\n\n\n
Sooklal said that despite sanctions imposed on Russia, many companies continued to do business with the country.<\/p>\n\n\n\n
\u201cEveryone is turning a blind eye. This is a complex world we live in, and money talks, despite sanctions,\u201d he said.<\/p>\n\n\n\n