South Africa: Automotive Investment Scheme guidelines
Description
On 12 May 2010, the Department of Trade and Industry approved guidelines for the Automotive Investment Scheme (AIS). The scheme is designed to grow and develop the automotive sector through investment in new and/or replacement models and components that will increase plant production volumes, sustain employment and/or strengthen the automotive value chain.
The scheme potentially influences international commerce by providing taxable cash grants to approved applicants to among other things, increase production; introduce new components; introduce intermediate products or processes not currently manufactured or performed in South Africa; create new markets for current components manufacturers or introduce substantial new foreign first tier supplier of components not currently manufactured in South Africa.
Any Evidence-Based Deliberation:
| Question | Result |
|---|---|
| Is there anything in the public record to suggest that evidence of the effectiveness of the proposed measure was considered during official deliberations? | |
| Is there any evidence that alternatives to the proposed measure were considered? | |
| Is there anything in the public record that suggests that empirical evidence informed the comparison across the alternatives available to government? | |
| Was such evidence identified? | |
| Is such evidence publicly available? | |
| Did the official decision-maker in question provide an explanation as to why a chosen measure was favoured over alternatives? | |
| Is there any evidence to suggest that potentially affected trading partners were consulted before the measures were taken? | |
| Is there any evidence that safeguards have been put in place to ensure that implementation of the initiative is transparent and non-discriminatory? | |
| Did the government state its intention to review the measure within one year of implementation? |
Date Discovered:
Implemented: Yes
Date of inception: 12 May 2010
GTA Evaluation: Red
Source:
Department of Trade and Industry 'Automotive Investment Scheme: Programme Guidelines.' http://www.dti.gov.za/ais/ais_guidelines.pdf
Government Response:
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