South African President Cyril Ramaphosa signed a historic agreement on minerals and green energy with the European Union at a tripartite meeting ahead of the G20 summit.
South Africa has signed a Memorandum of Agreement with the European Union to lead in green energy and process critical minerals. At a tripartite meeting held in Sandton, Johannesburg, Prime Minister Ramaphosa highlighted that the two institutions had agreed to collaborate on critical minerals and green energy through an unprecedented Memorandum of Understanding (MoU).
South Africa signs memorandum of understanding with EU to promote mining, pharmacy and green energy
European Union and South Africa Partnership #G20 South Africa https://t.co/LkMKAecnL3
— Cyril Ramaphosa 🇿🇦 (@CyrilRamaphosa) November 20, 2025
President Ramaphosa met with European Commission President Ursula von der Leyen and European Council President Antonio Costa at the summit. He asserted that common goals, trust and credibility foster the existing and deepening partnership between South Africa and the EU. He further announced that South Africa is prioritizing the transition to green energy to protect the livelihoods of those affected by the transition.
South Africa and the EU will jointly extract minerals and process them at the point of extraction. The agreement will allow his country to process minerals domestically and support local jobs. Mr Ramaphosa said this understanding would help South Africa advance the green energy and mineral beneficiation value chain in the critical minerals sector. This news comes after Cryptopolitan reported South Africa’s illicit gold network was rapidly growing.
The President explained that the two trade agreements will strengthen trade and investment ties between the African country and the EU. He also said that the agreement will lay the foundation for regulatory cooperation and identification of strategic projects in clean technology, green hydrogen and critical minerals.
Prime Minister Ramaphosa stressed that the agreement details support for green infrastructure, local production of vaccines and pharmaceutical supply chains. He said South Africa and the EU had succeeded in establishing and finalizing a clean trade and investment partnership. The agreement comes as the European Union implements a strategy to diversify its supply, moving away from monopolistic sources that have caused disruption.
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Today we sign the first-ever Clean Trade and Investment Partnership.
This is a new generation of trade agreements and a blueprint for future trade agreements.
We will also strengthen cooperation on critical raw materials in a mutually beneficial manner ↓ https://t.co/hGGWU8X0fa
— Ursula von der Leyen (@vonderleyen) November 20, 2025
European Commission President Ursula von der Leyen commented Regarding the deal, the EU said it would invest 350 million euros to improve Africa’s transport and energy infrastructure. He added that the investment is part of Transnet’s decarbonization strategy under the Just Energy Transition Partnership. He also acknowledged that the agreement was the first signed by the European Union.
He also explained that the EU will invest 330 million euros in a financing package for critical raw materials, clean hydrogen and batteries. He also announced that the EU will invest €70 million in South Africa’s pharmaceutical industry for vaccine production.
The European Commission President explained that both Europe and South Africa need inputs to drive the transition to green energy. He explained that the future of both countries’ economies depends on fair and reliable supply chains. He also said the partnership will help expand South Africa’s strategic industries.
Both sides defended multilateralism. The agreement came amid uncertainty surrounding US involvement in global forums. The agreement also signals an intention to maintain a cooperative, rules-based system.
The news follows the EU’s announcement of its intention to establish a centralized authority responsible for the development and stock management of critical minerals. The EU’s executive vice president for industrial strategy, Stéphane Séjournet, argued that the plan was aimed at preventing the US from monopolizing the world’s key minerals.
He told the Financial Times that the EU had become “collateral damage” in the US-China trade war. The meeting also precedes the G20 summit to be held in South Africa, and will be the first time an African country will host the G20.
