“Our Laws Are Not Racist”: Ramaphosa Fires Back at Elon Musk’s BEE Criticism
- President Cyril Ramaphosa rejected Elon Musk’s claim that BEE laws are racist, saying they are designed to address past injustices
- He stressed that the policies aim to empower previously disadvantaged groups, including Black people, women and others affected by apartheid-era discrimination
- Ramaphosa also noted that hundreds of international companies comply with South Africa’s empowerment laws
- Political analyst Luchulumanco Mawisa spoke to Briefly News journalist Mbalenhle Butale about the tensions between South Africa and Western stakeholders such as Musk
Source: Getty Images
SOUTH AFRICA — President Cyril Ramaphosa has responded firmly to criticism from tech billionaire Elon Musk, who recently described South Africa’s Broad-Based Black Economic Empowerment (BEE) laws as “racist.”
Ramaphosa was responding to allegations made multiple times by Musk regarding his company, Starlink, receiving approval to operate fully in South Africa.
Ramaphosa: our laws are not racist
In a clip posted on X by Newzroom Afrika, Ramaphosa dismissed Musk’s claims, insisting that the country’s empowerment policies are designed to address historical injustices rather than promote discrimination.
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“I know our laws are not racist. They are empowerment laws meant to uplift various people in our country who were discriminated against,” Ramaphosa said.
He emphasised that discrimination in South Africa’s past was systematically enforced against Black people, coloureds, Indians, and women. He added that even white women were disadvantaged under previous regimes.
“What we seek to do is redress the imbalances of the past. The Constitution has empowered us to pass laws that are empowering, not racist,” he explained.
See video here:
Musk fails to acknowledge apartheid laws
Ramaphosa also expressed concern that critics like Musk fail to acknowledge the country’s history of institutionalised racism under apartheid.
“It is interesting to me that he does not talk about the racist laws of the past. Those laws clearly stated what Black people could or could not do — where they could live, the jobs they could hold. Everything was delineated by race,” he said.
The president stressed that modern South African legislation does not impose race-based restrictions but instead promotes inclusion and economic participation.
“He will never find race-based laws in our current framework,” Ramaphosa added.
US Companies operating in SA comply with SA laws
Addressing concerns from international businesses, Ramaphosa noted that foreign companies operating in South Africa are expected to comply with local laws, including BEE requirements. However, he highlighted that there is flexibility within the system.
“Offshore-based companies that may face challenges with shareholding structures are given opportunities through equity equivalent programmes. These allow them to contribute through enterprise development, education, and other empowerment initiatives,” he said.
According to Ramaphosa, many global corporations have already embraced these measures.
“More than 600 US-based companies, including blue-chip firms like Google, Amazon and Microsoft, are complying with our laws. When they operate here, they follow our regulations, just as South African companies comply with laws in other countries,” he noted.
He concluded by rejecting what he described as unfair criticism of South Africa’s policies.
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“Singling out our BEE laws is quite dishonest. These laws are about empowerment. We are addressing all those who were held back by previous laws in our country,” Ramaphosa said.
The president added that he does not pay much attention to such criticism, reiterating government’s commitment to inclusive economic transformation.
Political analyst weighs in
Political analyst Luchulumanco Mawisa says the dispute highlights how global investment is often tied to political influence rather than purely economic considerations.
Speaking to Briefly News journalist Mbalenhle Butale, Mawisa noted that tensions between South Africa and Western stakeholders can directly shape investment outcomes.
"Western foreign direct investment has always carried political conditions. Geopolitical tensions between South Africa and Western partners do therefore realistically affect foreign direct investment decisions.”
Mawisa argued that such pressure, as from Musk, should not dictate South Africa’s policy direction.
"The answer to Western investment conditionality is not political capitulation, but the deliberate construction of diversified partnerships and strengthened regional integration.”
He added that the global investment landscape is shifting, reducing dependence on Western capital.
"FDI itself is no longer exclusively Western as intra-African investment and new global partners are reshaping the landscape.”
Musk says he was asked to pay a bribe for Starlink to operate in SA
In related news, Elon Musk claimed that he was offered a chance to bring his company, Starlink, to the country if he took the bribe route, something he would not do. The South African-born billionaire did not mention who made him the offer, but said it involved pretending as if Starlink had a black owner. This after Musk made repeated claims that Stralink is not operating in SA because the of the country's 'discriminatory laws' against white people.
Source: Getty Images
Briefly News also reported that former national public prosecutor Thuli Madonsela accused tech billionaire Elon Musk of spreading disinformation after he posted a series of tweets reiterating the accusation that South Africa is a racist country with racist laws. She defended BBBEE and added that BBBEE laws equally apply to black companies, including Royal Bafokeng.
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Source: Briefly News
Mbalenhle Butale (Current Affairs writer) Mbalenhle Butale is a dedicated journalist with over three years newsroom experience. She has recently worked at Caxton News as a local reporter as well as reporting on science and technology focused news under SAASTA. With a strong background in research, interviewing and storytelling, she produces accurate, balanced and engaging content across print, digital and social platforms.
Luchulumanco Mawisa (Politics Analyst) Luchulumanco Mawisa is Country Lead at the Independent Continental Youth Advisory Council on the AfCFTA in South Africa. A member of the AU Youth Volunteer Programme (2024–2030), he also completed the Gamal Abdel Nasser Fellowship (2023) and Lincoln Mali Leadership Fellowship (2024). His work spans research, policy and institutional development. In 2025, he contributed to Africa’s first G20 via Y20 working groups and has provided political analysis across AU, BRICS and SA–China platforms.
