South Africa Raised Steel Import Duties To 30% Amid China Import Surge

steel loading

South Africa has increased import duties on several steel products to between 10% and 30% via a government notice to protect its struggling domestic manufacturing sector from weak demand and foreign competition.

The updated tariffs target essential upstream and downstream products like flat-rolled iron, non-alloy steel, bars, rods, tubes, and pipes. Previously, the nation applied import duties ranging from zero to 15%.

Cheap foreign shipments heavily pressure the local market, where imports constitute roughly 36% of total steel consumption. China alone drives the vast majority of these inflows, accounting for 73% of those imports.

The continuous influx of low-priced steel has forced major regional manufacturers, including ArcelorMittal South Africa, to idle various mills and downsize operations over the past year to mitigate severe financial losses.

“We are hoping that this decision will provide the local industry necessary space to adjust in a manner that allows them to invest in their capability,” ITAC Chief Commissioner Ayabonga Cawe stated.

The broad intervention aligns with the maximum legally permitted import tariff rates under World Trade Organisation rules. Finance Minister Enoch Godongwana signed the emergency adjustment to prevent further widespread industrial job losses.

This policy follows separate emergency trade actions executed in March, when South Africa enacted harsh, five-year anti-dumping duties reaching 74.98% on Chinese structural steel and up to 47.92% on coated flat steel.

Picture of Chidozie Nwali

Chidozie Nwali

ThinkBusiness Africa

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