SCRAP BEE LAWS TO UNLOCK ‘BILLIONS OF DOLLARS’ – US AMBASSADOR
- BEE NEWS
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Nokukhanya Mntambo | 10 April 2026
The US government continues to put pressure on South Africa to scrap its redress policies – including the controversial broad-based black economic empowerment (B-BBEE) legislative framework, which has been at the centre of a rift between the two trade partners.
US Ambassador to SA Brent Bozell doubled down on Washington’s calls on Wednesday, after President Cyril Ramaphosa received letters of credence from 20 ambassadors at an official credentials ceremony.
“There are serious issues between our two governments that need to be resolved,” the diplomat told journalists outside the Sefako Makgatho presidential guest house in Tshwane, after the cordial meeting.
“The United States is ready to pour money into investments in South Africa, and it’s not just the private sector that’s doing it, but the government that is doing it,” he said.
“There are billions upon billions of dollars that we want to invest in this country, but there are issues that we have.”
The ownership issue
SA’s B-BBEE laws broadly require international companies operating in the country to have 30% ownership by previously disadvantaged local groups.
This has invoked the ire of US President Donald Trump and SA-born billionaire Elon Musk, who pushed a false narrative about white genocide in the country in an attempt to strong-arm Ramaphosa into abandoning the redress policies.
Musk’s internet satellite company Starlink has struggled to secure an operating licence in SA, with an Equity Equivalent option touted as an alternative to open the door for the service provider.
“It’s very difficult for a major corporation to come here and be told it has to surrender 30% of its ownership or some such thing,” Bozell said.
While he says the criticism about South Africa’s domestic laws is in no way meant to interfere with the country’s sovereignty, he notes that the US will continue to have a difference of opinion on the matter.
SA won’t fold
Speaking at a separate event on Wednesday, Minister of Trade, Industry and Competition Parks Tau again defended B-BBEE as a critical policy tool in taking the country forward.
“Instead of dismissing the need for B-BBEE, shouldn’t we be strengthening our policy and implementation instruments to ensure we measure output and outcome?” said Tau.
“Shouldn’t we be asking questions like how we reach more people at the level of participation, how do we ensure access to capital?”
Last year, Tau announced a two-part process to review the B-BBEE policy in what he said would refine legislation and allow it to function more efficiently.
‘Disclaimer - The views and opinions expressed in this article are those of the author(s) and not necessarily those of the BEE CHAMBER’.