South Africa and France Commit to Doubling Trade by 2027

Brand South Africa Editor
|
May 26th, 2025

Johannesburg, 23 May 2025 — South Africa and France have pledged to double bilateral trade over the next two years, following a successful South Africa–France Investment Conference held from 21 to 22 May 2025. The inaugural forum, hosted by South Africa in Paris, marked a pivotal step in strengthening the 30-year relationship between the two nations. By reaffirming South Africa’s position as a capable economic partner to France, the meeting reinforced exports, encouraged investment and promoted private sector activity for economic growth.

Led by South African Deputy President Paul Mashatile, the conference brought together over 300 delegates from public and private sectors to explore investment opportunities across key sectors such as Energy and Water; Transport and Logistics; Financial Services, Trade and Industry; Agriculture and Agro-processing, Mining, and Information Communication and Technology.

“South Africa is committed to our forebears’ vision of a better Africa,” said Mashatile. “Through enhanced global integration and cooperation with countries like France, we can drive inclusive economic growth.”

France is currently South Africa’s 12th largest trade partner. However, the country is running a trade deficit with France, meaning South Africa imports more goods and services from France than it exports to France. According to the Organisation for Economic Cooperation and Development, South Africa exported ZAR 661 million and imported ZAR 2.25 billion from France, resulting in a negative trade balance of ZAR 1.59 billion in 2024.

According to the 2025 FDI Confidence Index, France boasts being a major recipient of FDI, ranking as the first in Europe and 7th globally. Between January 2012 and April 2024, a total of 17 South African companies invested in 21 projects in France with an accumulative capex of R3,569.62m, creating 497 jobs. Pharmaceutical company Aspen made the largest investment in France, which amounted to a total capex of R1,652.73m.

Almost 5 000 French companies export to South Africa – French investments in South Africa have surpassed R100 billion. Over 400 French businesses and subsidiaries support South Africa’s socioeconomic development and directly employ more than 65, 500 South Africans.

South Africa has experienced a net FDI inflow every year since the global financial crisis, highlighting its resilience and continued attractiveness as a destination for investment.

The conference highlighted the importance of boosting value-added exports and strengthening strategic sectors. It also emphasised leveraging the African Continental Free Trade Area (AfCFTA) for regional trade expansion.

Organised by the South African Embassy in France and Brand South Africa, with support from key sponsors such as IDC, RMB, Total Energies, Business France, and the French South African Chamber of Commerce and Industry, the event underscored the critical role of Public-Private Partnerships in economic development.

The commitment to double trade by 2027 marks a significant milestone in the bilateral economic relationship and sets the tone for continued collaboration. In addition, the countries highlighted the need for both countries to develop plans of action for the effective implementation of existing bilateral agreements.