SA’s Trade and Industry Department Wraps a Challenging Year with R353bn in Investments, Job Gains, and Industrial Advances

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Despite global economic headwinds and sluggish domestic growth, the dtic secured R353.2 billion in investment pledges during the 2024/25 financial year—exceeding its annual target. This achievement, driven largely by EU partnerships and provincial investment conferences, was among several highlights in a year marked by mixed performance across programmes and entities.

Macroeconomic & Labour Realities

South Africa narrowly avoided recession, with GDP growth of just 0.6% for 2024. Economic constraints—particularly energy shortages, freight inefficiencies, and high business costs—persisted. Unemployment rose to 32.9%, with youth unemployment reaching a staggering 62.4% in Q1 2025.

Trade and Exports

South Africa posted a trade surplus of R378 billion with the African continent, driven by agriculture and manufacturing exports. However, manufacturing exports globally declined by 4.1%, largely due to decreased demand from major partners like China and Germany.

Industrial Interventions & Job Creation

The dtic’s industrial funding support disbursed R4 billion, creating over 11,600 permanent jobs, particularly in manufacturing and global business services. Programmes targeting Black Industrialists, youth, women, and SMMEs received over R2 billion in funding approvals.

Special Economic Zones (SEZs) continued to attract investment, with the Namakwa SEZ gazetted and new SEZs proposed in Coega and Fetakgomo-Tubatse. The Social Employment Fund created over 212,000 work opportunities across all provinces throughout the year.

Green Economy & Industrial Strategy

Key milestones included Cabinet’s approval of the Renewable Energy Master Plan, the Critical Minerals Strategy, and progress on the Electric Vehicle (EV) transition, including tax incentives and local battery value chain development. South Africa also strengthened its Cannabis Commercialisation Strategy, aiming for 10% growth contribution to GDP.

Competition, Consumer Protection & Trade Law

The Competition Commission played a key role in securing price reductions in TB medication and released reports tackling market concentration in food and fresh produce. The department also introduced draft regulations to block unwanted direct marketing, strengthening consumer rights.

Trade Partnerships & AfCFTA Implementation

South Africa deepened bilateral ties through trade forums and business roundtables with the EU, US, Nigeria, Mozambique, and others. The dtic reported R820 million in exports under AfCFTA preferences, with the Protocol on Women and Youth in Trade submitted for ratification.

Performance Snapshot

• Annual targets achieved: 62%

• Q4 targets achieved: 64%

• R9.6 billion spent out of a R9.67 billion adjusted budget (98.9%)

• 42% of entities met annual targets, while 58% partially achieved them

• R1.29 billion disbursed to Black Industrialists

• R11 billion earned in service exports via Global Business Services

Despite significant challenges, the department made strong strides in investment attraction, industrial policy, and transformation. However, job creation, export growth, and structural reforms remain critical areas requiring sustained effort in 2025/26.