South Africa has raised import duties on selected steel products to between 10 and 30 percent, in a move designed to protect domestic producers from cheaper foreign competition and stem a decline in local industrial capacity.
The decision follows recommendations by the International Trade Administration Commission (ITAC), which reviewed mounting pressure on the local steel sector driven by weak domestic demand, high production costs, and a surge in lower-priced imports largely from Asia.
Imports now account for about 36 percent of total steel consumption in the country, intensifying strain on local manufacturers. The new duties cover flat-rolled steel, bars, rods, tubes, and pipes. Before the adjustment, tariffs on these products ranged from zero to 15 percent in some categories.
Major producers including ArcelorMittal South Africa have already scaled back operations or closed some facilities as profitability has deteriorated, raising concern about jobs and long-term industrial capacity. Industry bodies have warned that without intervention, local production could shrink further, deepening reliance on imports.
Trade officials said the increases are intended to give domestic producers room to stabilise operations and invest in equipment upgrades. The government also indicated it will adjust tariff rebates to balance protection for local steel makers against the needs of manufacturers that depend on imported steel as a production input.
South Africa’s decision aligns it with other major economies that have recently tightened trade measures in the steel sector, largely in response to global oversupply driven by excess Chinese production capacity. Officials said the policy will remain under review as the government continues to balance industrial protection with broader trade competitiveness and downstream manufacturing needs.
