Will Elon Musk's Starlink finally launch in South Africa? Ramaphosa seeks deal

President Cyril Ramaphosa is reportedly expected to explore potential business ventures with Elon Musk's companies, which may include proposing a solution to bypass BEE regulations to enable the operation of Starlink internet services in South Africa.

This is according to Ramaphosa spokesperson Vincent Magwenya.

Ramaphosa is in Washington, D.C, for a visit aimed at improving strained relations with the US President Donald Trump. 

He is scheduled to meet with Trump on Wednesday.

Tensions between the two countries have escalated during Trump’s second term, particularly after he criticised South Africa’s land reform policy, which he claims allows land to be seized from White Afrikaner farmers. 

However, the South African government has since rubbished the claim.

Relations further soured after the Trump administration cut HIV and AIDS funding to South Africa in February. 

Most recently, the US granted refugee status to 49 white South Africans who alleged racial discrimination, a claim the South African government has vehemently denied.

With stakes high ahead of the meeting, political analysts warn that Ramaphosa is likely to face a tough audience.

According to Reuters, South African officials have been preparing a trade proposal aimed at resetting the bilateral relationship. 

One such proposal involves Tesla Inc, led by Musk, who is a close ally and adviser to Trump.

The proposed deal would grant Tesla favorable tariffs on its imports into South Africa in exchange for building electric vehicle charging stations across the country. 

Magwenya reportedly confirmed that the proposal could be on the agenda, along with discussions about licensing Musk’s satellite company, Starlink.

Earlier this month, reports stated that the US has pushed some nations facing tariffs to approve Starlink, citing State Department cables.

Musk, who was born in South Africa, previously claimed Starlink was barred from operating in the country because he is not Black.

Again, the South African government denied the claim.

In March, South Africa’s telecommunications regulator said Starlink had not applied for a license. 

Musk’s comment was seen as criticism of the country’s Black Economic Empowerment (BEE) rules, which require foreign-owned telecommunications licensees to sell 30% of their local equity to historically disadvantaged groups.

Meanwhile, Ramaphosa is traveling with Democratic Alliance (DA) leader and Agriculture Minister John Steenhuisen, Trade and Industry Minister Parks Tau, Minister in the Presidency Khumbudzo Ntshavheni, International Relations Minister Ronald Lamola, and new special envoy to the US, Mcebisi Jonas.

IOL Politics