The South African rand firmed slightly to 17.9 per USD but remained near its lowest level since June 20, pressured by a stronger dollar following US tariff developments. President Donald Trump on July 12 targeted Mexico and the European Union with steep 30% tariffs starting August 1, following earlier threats of steep levies on copper, Canadian goods, pharmaceuticals, and Brazilian products. Meanwhile, South Africa faces a 30% tariff on its exports to the US starting August 1, plus an additional 10% due to its BRICS membership. The looming trade penalties have added to uncertainty, casting doubt on the likelihood of further rate cuts by the South African Reserve Bank. The central surprised with a rate cut in May, following a January reduction and a March hold as market conditions improved somewhat amid ongoing tariff negotiations and softer-than-expected inflation. The SARB’s MPC meets later this month, but economists expect it to hold rates steady at 7.25%.