From Tariffs to Turbines: EU Cash Supercharges South Africa’s Clean Energy Leap

The European Union has pledged €11.5 billion (about $13.3 billion) to help drive South Africa’s efforts in expanding clean energy, improving infrastructure, and boosting pharmaceutical development.
A major portion of this funding is set to help the country speed up its transition to renewables adding new power generation, upgrading the grid, deploying energy storage, and advancing green hydrogen projects. The EU’s announcement highlights the Coega Green Ammonia Project, intended to fulfil rising demand in sectors like agriculture, chemicals, and mining, along with efforts to strengthen vaccine and pharmaceutical production for the continent. Earlier, European Commission President Ursula von der Leyen had pledged €4.7 billion during a visit to South Africa—a commitment that may or may not be part of this latest version. Meanwhile, South Africa’s exports have been hit by a 30 percent U.S. tariff introduced by President Donald Trump, and the end of a key U.S.–Africa trade program. Officials are now appealing to the U.S. government to reconsider the tariff.