3 South Africa's Strategic Mineral Exports: An Analysis of the Feasibility of a United States Embargo Sanford Wright The perception that the United States is dependent upon South Africa's strategic mineral exports is continually being promoted by South Africans and U.S. officials who are supportive of South Africa. In 1988, anti-sanctions efforts by the Reagan administration and legislative officials intensified. Deputy Secretary of State John C. Whitehead stated before the Senate Foreign Relations Committee that "according to the U.S. Bureau of Mines, the direct economic costs to this nation resulting from a decision to embargo South African strategic and critical minerals imports are estimated at $1.85 billion per year." 1 Robert Wilson, the former executive director of the National Critical Materials Council, also spoke before this committee, stating: "Recently, the Bureau of Mines has estimated that a cutoff of these metals would cost the U.S. economy almost $2 billion per year, and that figure does not even take into consideration the multiplier effect." 2 Congressman Dan Burton held a press conference on August 9, 1988, at which he stated: "Embargoing South African Rhodium sup- plies alone would result in 34 billion dollars in GNP losses in the sec- ond year of the embargo and 27 billion dollars in the third year even if U.S. manufacturers have adequate rhodium stocks to carry them through the first year. Furthermore, 572,000 jobs would be lost in -55- |