Minister of Trade and Industry

Parks Tau delivered the keynote address at the 8th annual PGMs Industry Day, currently underway at the Houghton Hotel in Johannesburg. The event, a key gathering in the platinum group metals (PGMs) sector, brings together industry leaders, policymakers, and stakeholders to discuss the latest developments, challenges, and opportunities shaping the industry’s future.

In his address, Tau emphasised three interlinked themes: the strategic importance of South Africa’s PGMs, the need to adapt to shifting global economic dynamics, and the transformative potential of green hydrogen in unlocking significant economic growth.

Tau highlighted South Africa’s unique position as a global leader in PGM resources, highlighting metals such as platinum, rhodium, and palladium. He said these minerals have long served as the backbone of the country’s mining and manufacturing sectors, fueling automotive and industrial processes and supporting a thriving midstream and downstream ecosystem. “South Africa must maximise these natural endowments to secure our future and leverage our resources effectively,” he said.

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Navigating geopolitical tensions and tariffs

A major focus of Tau’s speech was the impact of geopolitical tensions between the United States and China and the recent tariffs imposed by the U.S. on South African exports. He cautioned that these tensions are creating an uncertain global trade environment, which could complicate supply chains and force industries like stainless steel to adapt to a more complex and potentially less efficient global trading system. He urged industry to be alive to these developments and position itself for opportunities that may arise.

Tau also highlighted the 30% tariffs imposed on various South African exports, acknowledging their potential to disrupt trade. “If we are to navigate what is set to be a tumultuous four years ahead, we must work together and drive a solutions-oriented agenda,” he urged.

He also noted that while the new U.S. tariff structure may pose a broad threat to South African exports, certain key commodities such as manganese, uranium, chrome, coal, and some scrap materials have been exempted. “This shows that the tariffs are more targeted than initially assumed,” he said.

As the PGMs Industry Day continues, industry stakeholders are expected to engage in discussions on how best to position South Africa’s PGM sector for sustainable growth amid global economic shifts.