Global Trade Alert

On 24 March 2016, the South African authorities announced the initiation of a safeguard investigation on imports of certain flat-rolled products of iron, non-alloy steel or other alloy steel (excluding stainless steel) and not further worked than hot-rolled flat, not clad, plated or coated as well as excluding grain-oriented silicon electrical steel. The products subject to investigation are classified under the following HS code: 7208.10, 7208.25, 7208.26, 7208.27, 7208.36, 7208.37, 7208.38, 7208.39, 7208.40, 7208.51, 7208.52, 7208.53, 7208.54, 7208.90, 7211.14, 7211.19, 7225.30, 7225.40, 7225.99, 7226.91 and 7226.99. The request for an investigation was lodged by the South African Iron & Steel Institute on behalf of its members producing the subject products.

On 22 July, the International Trade Administration Commission (ITAC) of South Africa issued its preliminary findings and recommended not to impose a provisional safeguard measure on imports of above product.

On 11 August 2017, the South African Revenue Service imposed a definitive safeguard duty on imports of the subject good. The rate of duty between 11 August 2017 and 10 August 2018 is 12%. The rate of duty between 11 August 2018 and 10 August 2019 is 10%. The rate of duty between 11 August 2019 and 10 August 2020 is 8%. A number of countries are exempt from duties. 

In May 2018, a rebate was introduced for the purpose to exclude certain goods being subject to safeguard duties. A number of further rebates were introduced on various other goods the months following. 

On 24 May 2019, the South African Revenue Service amended the regulation imposing definitive duties as so far as it relates to Chinese Taipei. The safeguard duty is extended to Chinese Taipei. Notably, the country was exempted from safeguards duties prior to this date.

On 24 July 2020, the South African authorities initiated a sunset review of the safeguard investigation of the safeguard duty imposed on imports of certain flat-rolled products of iron, non-alloy steel or other alloy steel (excluding stainless steel) and not further worked than hot-rolled flat, not clad, plated or coated as well as excluding grain-oriented silicon electrical steel. The review follows the application lodged by  South African Iron & Steel Institute (SAISI). SAISI submitted the application on behalf of ArcelorMittal South Africa Limited (AMSA).

On 7 August 2020, the South African authorities extended the definitive duty until 10 August 2021 at a duty level of 8% following the initiation of a sunset review.