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South Africa’s jobless rate hits 12-month high amid Trump tariffs

Rising unemployment deepens fears of economic, trade fallout.
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South Africa’s official unemployment rate rose by 0.3 percentage points to 33.2% in the second quarter of 2025, the highest in a year and the second straight quarterly increase, according to the latest Quarterly Labour Force Survey from Statistics South Africa (Stats SA).

Between April and June, the number of unemployed persons climbed by 140,000 to 8.4 million, while employment numbers saw only a modest rise of 19,000 to reach 16.8 million. The labour force expanded by 0.6% (159,000 people) during the period, based on a working-age population of 41.8 million (15–64 years).

A breakdown of the report shows that the broader unemployment measure — which includes discouraged work seekers and those not economically active for other reasons — declined slightly by 0.2 percentage points to 42.9%, equating to 12.6 million people.

Formal sector jobs, covering trade, private households, construction, and mining, rose by 34,000, accounting for 68% of total employment. Trade and private households posted the largest gains, adding 28,000 and 8,800 jobs, respectively.

However, losses were recorded in services (down 42,000), agriculture (down 24,000), and finance (down 24,000). Informal sector jobs fell by 19,000.

Trade tensions weigh on outlook

The labour market strain comes as South Africa faces bombastic US trade measures. Under President Donald Trump’s revised policy, all South African exports now face a blanket 30% tariff, with a separate 25% duty on automotive shipments. The US is the country’s second-largest export destination.

In July, the South African Reserve Bank warned that as many as 100,000 jobs could be lost if the tariffs persist. President Cyril Ramaphosa, speaking at an African National Congress event, described the economy as being in a “state of emergency.”

“This additional loss of jobs comes before the anticipated imposition of new US tariffs, meaning that this hapless inertia is likely to have even more devastating consequences for South Africa’s already fragile economy,” said Alan Beasley, Member of Parliament.

Key sectors such as agriculture, automotive, machinery and equipment manufacturing, and mining (excluding critical minerals) are seen as most at risk. Efforts to secure a trade agreement with Washington have so far failed, with even a decade-long LNG purchase proposal rejected.

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