Edition August 2025

In a historic move to bolster international diplomacy and economic collaboration, Austria’s Federal President Alexander Van der Bellen led a high level delegation visit to South Africa on 4 July 2025. The visit, hosted by President Cyril Ramaphosa, marked a significant step in deepening the longstanding relations between the two countries, with a pronounced focus on sustainable economic partnerships, innovation, green technology and cultural exchange.        

The Austrian delegation, which included senior government officials, business leaders, and academic representatives, engaged in comprehensive discussions with their South African counterparts. The agenda covered areas of mutual interest, notably renewable energy, advanced manufacturing, skills development and climate resilience.

At the core of the visit was the Austria-South Africa Business Forum, held in Pretoria, where over 60 Austrian companies met with South African industry leaders to explore trade and investment opportunities. Key sectors under review included clean energy, agro-processing and component manufacturing. There are also opportunities in critical minerals beneficiations, pharmaceuticals, and technology and innovation. 

South Africa’s economic recovery

President Ramaphosa highlighted key progress around South Africa’s economic recovery. The economy has shown signs of recovery, electricity supply has improved, and inflation has moderated positively. South Africa is driving massive infrastructure drive with key investments concentrated in energy, transport and logistics, water and sanitation, and digital infrastructure. 
The country has also established an Infrastructure Fund to leverage blended financing from private investors and multilateral development banks. The fund has a pipeline of projects in water, sanitation, energy, transport, digital infrastructure, agriculture, agro-processing and housing.

Industrial plan

South Africa is also actively developing an industrial plan to support the growth of electric vehicle and battery production. The plan includes incentives for manufacturers, investment in charging infrastructure and localisation of components. The country has a supportive and enabling industrial policy. This policy involves the expansion of special economic zones and harnessing the potential of the African Continental Free Trade Area. 

These special economic zones are located across the country, each with unique offerings for investors.
“Austria sees South Africa as a gateway to the African continent,” said President Van der Bellen during the forum. “This visit underscores our commitment to fostering innovation-driven partnerships that create shared prosperity and address global challenges like climate change.”    

Deepening economic cooperation

“South Africa is Austria’s largest economic and trade partner in Africa. Our country accounts for almost a third of Austria’s total exports to the continent. There are more than 70 Austrian companies with subsidiaries or agencies in South Africa across a range of sectors. There is significant potential to deepen investment and trade links in areas such as the green economy, energy, manufacturing, infrastructure development and tourism,” said President Ramaphosa.

During the visit, two Memoranda of Understanding were signed – one on cooperation in consular affairs and the second one on technical vocational education and work-based training, which will support South Africa’s efforts to produce the skills our economy needs.

President Ramaphosa emphasised the potential for joint innovation. “Austria’s technical excellence combined with South Africa’s entrepreneurial spirit opens the door to powerful synergies. We look forward to a future of mutually beneficial cooperation that empowers our youth and uplifts our economies.” 

Global reform of multilateral institutions 

President Ramaphosa also emphasised that South Africa and Austria share the belief that the institutions of global governance, and particularly the United Nations Security Council, must be reformed to meet the challenges and realities of the world today. 
The state visit was also an opportune moment for South Africa to discuss the theme for South Africa’s G20 Presidency; “Solidarity, Equality and Sustainability”. 

The G20 theme envisage a world order in which every person, every community and every country has equal opportunity to progress and to thrive.

Sustainable development 

A recurring theme throughout the visit was the shared commitment to sustainable development. Austria, recognised for its expertise in environmental technologies, presented collaborative models in urban mobility, waste management, and circular economy practices. South Africa, on its part, welcomed these engagements as vital to achieving its Just Energy Transition goals.

South Africa holds the world’s largest reserves of platinum group metals, which is a competitive advantage to produce sustainable energy technologies. The South African businesses are also eager to explore opportunities in Austria, an economy that offers European Union (EU) single market access, has high purchasing power and is a stable, innovation-driven economy.

There is also a high demand for South Africa’s agricultural products in the EU, including high-quality South African wines and speciality foods, including rooibos.

Promoting tourism cooperation 

“South Africa holds a special place in the hearts of many Austrians not only as a valued economic partner but also as a destination of extraordinary natural beauty and cultural richness. Every year, more than 20 000 Austrians choose to visit this remarkable country, strengthening the bonds of friendship between our peoples,” President Alexander Van der Bellen concluded. 

During the state visit, both governments reaffirmed their commitment to further promoting tourism cooperation, with plans to enhance direct connectivity, marketing initiatives, and sustainable tourism development ensuring that travel between Austria and South Africa continues to grow in both volume and value.