South Africa and the European Union have reaffirmed their commitment to a deepening partnership, characterized by trust, reliability, and shared goals. At a high-profile trilateral meeting, President Cyril Ramaphosa, European Commission President Ursula von der Leyen, and European Council President António Costa emphasized the importance of their relationship. Ramaphosa noted that the partnership is “mature, predictable, reliable, and based on trust.”
The meeting resulted in the signing of a landmark agreement focused on critical minerals, essential for green energy, digital technology, and defense. The deal aims to ensure that both South Africa and the EU advance up the value chain, with the EU investing €350 million to modernize South Africa’s infrastructure, including transport and energy. This investment supports Transnet’s decarbonization under the Just Energy Transition Partnership.
Key priorities of the agreement include South Africa’s intention to process raw minerals domestically, capturing higher value and supporting local jobs. The EU will strengthen clean-energy and transport systems in South Africa, bolstering their partnership under the Global Gateway investment strategy. Both parties emphasized their commitment to defending multilateralism, upholding collaborative, rules-based systems.
This agreement is significant for Business Africa, as it provides South Africa with an opportunity to broaden its economic base, boost local processing industries, and position itself as a strategic hub in global supply chains. For the EU, the pact ensures access to critical inputs needed for the clean-tech transition, representing a mutually beneficial partnership that transcends traditional donor-recipient models.
The deal marks a convergence of interests between Africa’s ambition to industrialize and the West’s urgency to secure raw materials, offering a fresh chapter in Africa-Europe cooperation. As Ramaphosa stated, the partnership allows for discussions on a variety of matters, highlighting the importance of cooperation between the EU and South Africa. The agreement represents a significant step forward in their relationship, with potential for future collaborations and investments.