Pray the News
SA in rush to avert tariff-driven crisis –
The Herald - Monday 28 July
Background from the Article
It is all hands on deck as SA scrambles to a vert a tariff-driven crisis threatening the countries automotive industry and the thousands of jobs linked to it. With new US tariffs set to take affect in August and European demand slowing, government leaders are scrambling to cushion the impact and develop a strategy to safeguard the Eastern Cape’s largest sector.Adding to the pressure on government leaders is the uncertainty surrounding big manufacturers such as Mercedes Benz SA in East London and the impending closure of Goodyear SA in Kariega. The International Trade Administration Commission of SA (ITAC) spent two days in Nelson Mandela Bay visiting component suppliers and manufacturers in Gqerberha and Kariega, along with the city’s business sector. ITAC is a state agency under the Department of trade, industry and competition. Its regulate tariffs and import controls to shield local industries from unfair foreign competition. OTAC commissioner Aya Bongwa Cawe said the challenges facing the country- particularly the Eastern Cape- were complex and involved many moving parts. Cawe said one of the firms visited was Jendemark, which exported more than 85% of their products, with the US being their biggest market.
More Background
The US, a key export market, imposed a 25% tariff on South African automotive imports in April 2025, followed by an additional 30% tariff announced for August. These measures, enacted under Section 232 of the US Trade Expansion Act of 1962, have already caused an 82% collapse in vehicle exports to the US in the first half of 2025, with only 2,875 vehicles shipped compared to 16,112 in the same period of 2024. In 2024, the sector generated R28.6 billion in export revenue to the US, accounting for 64% of South Africa’s trade under the African Growth and Opportunity Act (AGOA). The tariffs threaten thousands of jobs and could turn industrial hubs like East London into “ghost towns,” according to Naamsa CEO Mikel Mabasa.
Prayer Guidelines
You are invited to pray for the following:
- Wisdom for Leadership: Pray for government leaders, ITAC, and industry stakeholders to receive divine wisdom and discernment in formulating effective strategies to mitigate the impact of US tariffs and protect the automotive sector.
- Economic Stability: Ask for God’s provision to sustain the Eastern Cape’s economy, safeguarding thousands of jobs in the automotive industry and its supply chain, including small businesses affected by the crisis.
- Protection for Workers: Intercede for the employees of Mercedes-Benz SA, Goodyear SA, Jendemark, and other affected companies, that they may find security and hope amidst uncertainty, and that job losses may be minimized.
- Successful Trade Negotiations: Pray for fruitful diplomatic engagements between South Africa and the US, particularly for a favorable duty-free quota agreement to preserve market access and support export-driven businesses.
- Community Resilience: Lift up the communities in East London, Gqeberha, and Kariega, asking for strength and unity to weather the economic fallout and for provision to prevent industrial hubs from declining.
Prayer
Heavenly Father, we come before You, seeking Your divine guidance for South Africa’s automotive industry in the Eastern Cape during this crisis. Grant wisdom and discernment to government leaders, ITAC, and industry stakeholders as they craft strategies to counter US tariffs and protect this vital sector. Provide for the Eastern Cape’s economy, safeguarding jobs in the automotive industry, its supply chain, and small businesses impacted by these challenges. We intercede for workers at Mercedes-Benz SA, Goodyear SA, Jendemark, and other firms, asking for Your security and hope to surround them, minimizing job losses. Guide South Africa’s diplomatic efforts with the US, securing a favorable duty-free quota to preserve market access and support export businesses. Strengthen the communities of East London, Gqeberha, and Kariega, uniting them to endure economic challenges and providing resources to sustain these industrial hubs. May Your peace and provision lead South Africa through this crisis, fostering resilience and hope. In Your holy name, Amen.
Proverbs 3:5-6 (NIV):
“Trust in the Lord with all your heart and lean not on your own understanding; in all your ways submit to him, and he will make your paths straight.”
Listen to the prayer here
Compiled by GAP Ministries
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