{"id":101280,"date":"2025-10-10T19:32:17","date_gmt":"2025-10-10T17:32:17","guid":{"rendered":"https:\/\/radioislam.org.za\/a\/?p=101280"},"modified":"2025-10-10T19:32:17","modified_gmt":"2025-10-10T17:32:17","slug":"asri-report-global-uncertainty-and-chinese-investment-drive-shifts-in-south-africas-economy","status":"publish","type":"post","link":"https:\/\/radioislam.org.za\/a\/asri-report-global-uncertainty-and-chinese-investment-drive-shifts-in-south-africas-economy\/","title":{"rendered":"ASRI Report: Global Uncertainty and Chinese Investment Drive Shifts in South Africa\u2019s Economy"},"content":{"rendered":"

Neelam Rahim | neelam@radioislam.co.za<\/a>
\n3-minute read | 10 October 2025 | 14:45 CAT<\/p>\n

\"\"

\ud83d\udcf8 Foton’s locally built vehicle marks a shift in South Africa\u2019s manufacturing and strengthens trade ties with China.<\/p><\/div>\n

Gold prices have doubled over the past two years, surging past $4,000 an ounce, with South African Kruger coins trading around 68,000 rand. Silver, platinum, and other precious metals have also seen an upward trajectory, reflecting global economic shifts and investor demand for safe-haven assets amid ongoing geopolitical tensions.<\/p>\n

Muhammed Cajee, Director of ASRI, told Radio Islam International<\/em> <\/a>that the surge in gold prices is closely tied to global uncertainties. \u201cThe Trump presidency, particularly his trade war with China, has created economic unpredictability between two superpowers,\u201d Cajee said, noting that ongoing conflicts, including the two-year Gaza war, have prompted investors to flock to gold. Interest rate speculations in the U.S. and a weakening dollar have further incentivised investments in precious metals, while central banks, including China\u2019s, continue to expand their gold reserves.<\/p>\n

Domestically, South Africa\u2019s inflation targeting remains a key policy debate. While the National Treasury supports a 3\u20136% range, SARB Governor Kenyatta advocates for a 3% target. Cajee explained that anchoring inflation expectations provides predictability for wages, pricing, and long-term planning, shielding the working class from rapid price increases. He emphasised that the choice between a narrow target and a broader range is fundamentally technocratic but also influenced by political considerations ahead of municipal elections.<\/p>\n

In the manufacturing sector, Chinese car manufacturer Foton Motor has rolled out its first locally built vehicle, signalling a shift in South Africa\u2019s automotive industry. Cajee noted that while traditional European and American manufacturers face declining competitiveness, Chinese companies are expanding aggressively in South Africa. This development aligns with the Department of Trade and Industry\u2019s push for localisation and industrial growth, offering benefits for job creation, skills development, and broader economic ties with China.<\/p>\n

\u201cThe local production of vehicles by Fortan reverses previous declines in completely knocked down vehicle manufacturing and strengthens South Africa\u2019s industrial base,\u201d Cajee said. He highlighted that South Africa is increasingly positioning itself as a gateway for Chinese companies into sub-Saharan African markets, a region projected to approach one billion people. This strategic positioning could attract further investment, stimulate local industries, and help address South Africa\u2019s persistent unemployment challenges over the next decade.<\/p>\n

The ASRI Report<\/em> underscores that South Africa\u2019s economic trajectory is shaped not only by global uncertainties and geopolitical developments but also by emerging trade partnerships, domestic policy debates, and industrial innovation. The combination of gold market trends, inflation management, and the evolving automotive sector reflects both challenges and opportunities for the country\u2019s future growth.<\/p>\n

Cajee concluded, \u201cStrengthening trade ties with China and encouraging local manufacturing has broader strategic implications for job creation and economic stability in South Africa.\u201d<\/p>\n

Listen<\/strong> to the full ASRI Report<\/em><\/a> on Sabahul Muslim with Moulana Junaid Kharsany and Muhammed Cajee.<\/p>\n","protected":false},"excerpt":{"rendered":"

Neelam Rahim | neelam@radioislam.co.za 3-minute read | 10 October 2025 | 14:45 CAT Gold prices have doubled over the past two years, surging past $4,000 an ounce, with South African Kruger coins trading around 68,000 rand. Silver, platinum, and other precious metals have also seen an upward trajectory, reflecting global economic shifts and investor demand […]<\/p>\n","protected":false},"author":29,"featured_media":101281,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[28,4995],"tags":[],"class_list":["post-101280","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-latest-news","category-south-africa"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/radioislam.org.za\/a\/wp-content\/uploads\/2025\/10\/ASRI-Report-1.jpeg?fit=1600%2C1600&ssl=1","jetpack_sharing_enabled":true,"jetpack-related-posts":[],"jetpack_shortlink":"https:\/\/wp.me\/pc0QIf-qly","jetpack_likes_enabled":true,"publishpress_future_action":{"enabled":false,"date":"2026-04-11 07:45:33","action":"change-status","newStatus":"draft","terms":[],"taxonomy":"category","extraData":[]},"publishpress_future_workflow_manual_trigger":{"enabledWorkflows":[]},"_links":{"self":[{"href":"https:\/\/radioislam.org.za\/a\/wp-json\/wp\/v2\/posts\/101280","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/radioislam.org.za\/a\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/radioislam.org.za\/a\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/radioislam.org.za\/a\/wp-json\/wp\/v2\/users\/29"}],"replies":[{"embeddable":true,"href":"https:\/\/radioislam.org.za\/a\/wp-json\/wp\/v2\/comments?post=101280"}],"version-history":[{"count":0,"href":"https:\/\/radioislam.org.za\/a\/wp-json\/wp\/v2\/posts\/101280\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/radioislam.org.za\/a\/wp-json\/wp\/v2\/media\/101281"}],"wp:attachment":[{"href":"https:\/\/radioislam.org.za\/a\/wp-json\/wp\/v2\/media?parent=101280"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/radioislam.org.za\/a\/wp-json\/wp\/v2\/categories?post=101280"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/radioislam.org.za\/a\/wp-json\/wp\/v2\/tags?post=101280"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}