Sanctioning Apartheid - KORA

South Africa is heady dependent on foreign input. TIE Swth
African Board of Trade and Industry notes that although import
replacement has Iong hem government policyf medundh
imports as a percentage of gross domestic product has only
declined hm 20% to 19% between 19SO and 1986. South Afrim's
economy is simply not large enough to develop high-tech
products. Even the mining industry depends on capital goods
imported ftom the US. and other countries. Henri de Viersf
chairman of the Standard Bankhvestment Corp, put it succinctly
"In this day and age there is no such thing as economic self-
&* and we delude ourselves if we think cWferent.. .
South Africa needs the world It needs ~~1 it needs skills,
it needs technolow and abwe all it needs capitat"
A Way to Go
US investment in South Africa is dearly not at an end.
More than 130 US companies stiIl have sdxkhies in South
Africa. And products of US companies an! avaiIable via
licemin& franchising, and distribution agmments. As a d t f
US companies and their pducls are found a m the speetnun
in Swth A£rica. Supexmarkets in South Afriea often look &
supennarh in the US with Kellog's cerealsI Colgate toothpastef
and Coca-Cola Swth Ahkart miners use cofltinuous miners,
drlll bits d ofher equipment from such companies as Joy
Technobgk, Baker Hughes, and Dresser Industries. The
chemical products might well come from American C y d
Co. or E L Du Pont de Nefnours and Co. Computers come from
IBM and Hewlett-Packard. A person reading a magazine will see
advertisements designed by J. WaIter Thompson.
Petroferan Indushy
Nowhere is the strategic nature of US investment in South
Africa more clearly shown than in the oil industry. This remains
the case today, although seveml US companies, induding Mobil,
have dishvested For many years the largest US investors in
South Africa were Mobil and Cat- (a joint venture of Chmn
and Texaco). In 1985, US petroleum companies (pdmady MOM