GRW Engineering applies for a temporary tariff rebate provision on importation of profiles manufactured in aluminium-copper-magnesium-zinc alloys

GRW Engineering, a leading South Africa based transport equipment designer, manufacturer, and service provider of a wide range of sophisticated, cutting-edge tankers and trailers has submitted an application to the International Trade Administration Commission (ITAC) for a temporary tariff rebate provision on importation of profiles manufactured in aluminium-copper-magnesium-zinc alloys.

The application was published in No. 51740 of the Government Gazette of 13 December 2024 and representations were to be made by the 13th January 2025.

The application is for the creation of a temporary rebate facility on:
“Profiles, of aluminium-copper-magnesium-zinc alloys, of a maximum cross-sectional dimension of 320mm or more but not exceeding 340mm, having a copper content of less than 0,1%, a magnesium content of less than 1% and a zinc content of less than 0.1%, with a yield strength of 220mpa or more but not exceeding 240mpa, classifiable under tariff subheading 7604.29.”

The reasons submitted by GRW Engineering (Pty) Ltd, who are based in Worcester, Western Cape, for the application, the applicant cited, amongst were the following:

• The specifications of the extruded profiles are beyond what the local industry can currently produce
• While there are existing temporary rebate facilities under 76.04, the specifications do not precisely align with the applicant’s product needs
• The manufacturing of this product comes with a major capital investment and contributes to skills development in the country and
• The import duty unnecessarily raises the cost of the finished product, the fuel tankers

From time-to-time certain government departments publish draft legislation to inform stakeholders about their intention to amend legislation, and to invite comments. The commentary period ranges from 2 week to longer periods, depending on the urgency of the matter. ITAC has a standard clause in all their tariff amendment application notices that the rate of duty in the application is that requested by the applicant, and that the Commission may, depending on its findings, recommend a lower of higher rate of duty. ITAC may also decide to maintain the existing duty rates.