6/9/2014 12:02:00 AM
HEADLINES
South Africa Doubles Tariffs on Imported Fasteners
South Africa raised tariffs on imported fasteners from 10% to 20% to help its domestic manufacturers.
Domestic production dropped 18% from 2010 to 2012 and employment fell 22% since 2008 when imports of bolts, nuts and set screws increased.
According to CBC Fasteners, which applied for the tariff, imported bolts went from 1,808 tons a year in 2008 to 3,896 tons in 2012. Set screws increased from 1,958 tons in 2008 to 5,965 tons.
The South African Fastener Manufacturers’ Association – which represents 80% of the production volume in the Southern African Customs Union (Sacu) – supported the application.
ITAC chief commissioner Siyabulela Tsengiwe ruled the domestic industry suffered a price disadvantage against products imported from Asian countries.
“The tariff support for the industry at the level of 20% ad valorem would improve its price competitive position in the face of stiff import competition,” he said.
The 20% approved by ITAC was less than the maximum rate of 30% under World Trade Organization rules that the industry sought. ITAC will review the duties in 2017 to determine industry production, employment and investment performance.
In 2012 ITAC investigated imports of fully threaded screws with hexagonal heads from China and set a 104.5% antidumping duty. ©2014 GlobalFastenerNews.com and Fastener + Fixing Magazine
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