AMSA vs the Steel Downstream
STEEL INDUSTRY ALERT
APPLICATION FOR THE INTRODUCTION OF
120%
SAFEGUARD DUTIES ON LONG PRODUCTS
Dear Steel Industry employer
Kindly take note that the International Trade Administration Commission (ITAC) has received an application from AMSA to introduce safeguard-duties of 120 % on certain long products.
Long products include angles, T-sections, U-sections, beams, etc. These products are already subject to a 10% ad valorem duty and safeguard-duties would add an additional 120%, bringing the total duty to 130%.This means that these sections will be 130% more expensive than what the same product will cost if it is imported from a cost-effective, new technology steel manufacturer abroad.
If this application is granted, AMSA will have carte blanche in terms of their pricing of the relevant long products.
In order to oppose the introduction of these duties, we believe it will be prudent to obtain the services of a consultant with expert knowledge in this area, to assist us in this matter. Costs in this regard will amount to approximately R200,000. Although the outcome cannot be guaranteed, the severity of the impact of these duties on our already strained Steel Industry, justifies that AMSA’s application be opposed in the most effective manner.
We herewith call on all businesses with an interest in this matter, to pledge an amount that they are willing to contribute. If the collective response reaches the point where it will cover the costs, relevant businesses will receive an invoice for the amount which they have pledged. If the pledged amount exceeds R200,000, businesses will be invoiced on a pro-rata basis.
Due to the limited timeframe set down by ITAC, the opportunity to pledge support for this process will expire at close of business, Thursday, 2 July 2020.
Regards
NEASA 24/7 NATIONAL HOTLINE: 086 016 3272
legalhotline@neasa.co.za
(please have your membership number at hand)
We are all in this together.
Privileged and challenged to be South African.