ITAC imposes final safeguard measures on imports of corrosion resistant steel coil – thin gauge

ITAC has concluded its investigation into increased imports of corrosion resistant steel coil, and made a recommendation to the Minister of Trade, Industry and Competition. The investigation, examined imports of certain flat-rolled steel products, commonly referred to as corrosion resistant steel coil.

The Commission made a final determination that:

• There were unforeseen developments, as contemplated under the General Agreement on Tariffs and Trade (GATT) 1994;
• The effects of obligations incurred under GATT 1994 contributed to a significant increase in imports of corrosion resistant steel coil; and
• The surge in imports has caused serious injury to the Southern African Customs Union (SACU) industry.

Considering these findings, the Commission recommended the imposition of safeguard measures on imports of the affected products for a period of three years as follows: that duties of 52.34% be imposed for the first year, 37.34% for the second year and 22.34% during the third year, effective June 12.

Picture illustration World Steel Organisation, Usiminas, Brazil

The Commission further recommended the extension of rebate item 460.15/7210.61/01.06 to include the rebating of safeguard duties on specific products that are not manufactured domestically. This measure is intended to ensure that industries reliant on these inputs are not adversely affected where local supply is unavailable.

To safeguard the interests of downstream industries, the Commission determined that the pricing behaviour of the Applicant will be closely monitored following the imposition of the safeguard measures. This step is aimed at preventing any unwarranted price increases that could negatively impact downstream users.

The safeguard measures apply to imports from all countries, with the exception of developing countries where imports from each country do not exceed 3% of total imports, or collectively, such imports do not account for more than 9% of total imports.

The implementation of the definitive safeguard duty seeks to provide temporary relief to the SACU industry, enabling it to adjust to increased import competition, while maintaining a balanced approach that considers the needs of downstream industries and international trade obligations.

Full details of the final determinations and recommendations can be found in Report 768
https://itac.org.za/wp-content/uploads/Report-768_-Investigation-for-remedial-action-in-the-form-of-safeguard-measure-against-the-increased-imports-of-flat-rolled-products-_-2026.pdf