South Africa is pushing to rebalance its growing trade deficit with Vietnam by shifting from raw commodity exports to value-added, industrialised trade, Deputy President Paul Mashatile said. He was addressing the South Africa–Vietnam Business Forum in Sandton, held on the sidelines of the G20 Summit.
Mashatile revealed that South Africa exported goods worth US$610.89 million (about R10.9 billion) to Vietnam in 2024, while imports from Vietnam reached US$1.14 billion (about R20.3 billion) leaving Pretoria with a trade deficit of nearly 30%.
He said the disparity reflects a long-standing structural challenge: South Africa mainly exports raw materials such as minerals, ores and agricultural products, while Vietnam sends back higher-value manufactured goods.
“This imbalance calls us to move beyond the traditional trade in raw materials,” Mashatile said, urging both governments and businesses to prioritise industrial collaboration, technology transfer and investment in processing industries.
The forum comes a year after President Cyril Ramaphosa’s State Visit to Hanoi, which reset bilateral economic relations and opened new areas of cooperation including renewable energy, science and technology, digital transformation and agriculture.
Vietnam, with a population of more than 100 million, is seen as South Africa’s gateway into the 700-million-strong ASEAN market. Conversely, South Africa — the continent’s most industrialised economy — offers Vietnam strategic access to the African Continental Free Trade Area (AfCFTA), the world’s largest single market by participating countries.
Mashatile encouraged Vietnamese investors to take advantage of South Africa’s Special Economic Zones, which offer world-class infrastructure and incentives. He also invited South African companies to expand into Vietnam’s rapidly growing industrial and technology hubs.
He said both countries must use the current momentum to “identify bankable projects, establish joint ventures, and promote value-added trade that supports inclusive growth.”
