Duty Increase

With an established track record with duty increase applications, we help local manufacturers and producers to get Customs duty protection.

A Customs duty helps local manufacturers and producers that are under pressure from imported products to compete in the market. Duty increase applications have increased over the years. Click here to see ongoing duty increase investigations.

Customs duties are only increased if the applied duty rate is lower than the bound rate. The bound rate is the maximum duty increase permissible without violating World Trade Organisation (WTO) commitments.

Duty increase process

The International Trade Administration Commission (ITAC), receives and investigates duty increase applications. Specific regulations prescribe the manner in which ITAC conducts investigations.

Application and verification

A well prepared, motivated, and complete application is the most important part of the process. The key information included in the application is financial, labour, and market information. ITAC conducts a verification exercise to check the accuracy of the information provided in the application against the company records.

Comments and oral hearings

Thereafter, ITAC will send out a non-confidential version of the application to interested parties soliciting preliminary comments. When this phase is complete, a decision to initiate an investigation is taken and the investigation is published in the Government Gazette. Interested parties can submit comments regarding the requested duty increase. In addition, all interested parties have an opportunity to apply for an oral hearing to present arguments verbally.

Final decision

ITAC makes a recommendation to the Minister of Trade, Industry, and Competition (DTIC) after considering all facts and information at its disposal. The duty increase process takes 6 – 12 months, however, the period can be significantly shorter if the industry is declared an industry in distress.

Is your locally manufactured product under pressure from competing imported products? With significant expertise in this area, let our expert consultants help you with a duty increase application and guide you throughout the process.

  • The poultry tariff structure under review

    The International Trade Administration Commission (ITAC) has initiated an investigation to review the tariff structure on poultry. The investigation has initiated following a directive from the Minister of Trade, Industry, and Competition. The South African tariff book contains tariff codes at 6 digits and 8 digits levels. The 6 digits tariff codes are the same

    March 17, 2021
  • Creation of temporary rebate provision of customs duties and safeguard duties on flat steel products

    On 16 March, the International Trade Administration Commission (ITAC) initiated a rebate investigation on safeguard duties and ordinary Customs duties covering various flat-rolled products. The investigation has initiated following a policy directive from the Trade, Industry, and Competition Minister to investigate the possibility of creating the rebate. A rebate provides an exemption of duty payment. In

    March 17, 2021
  • Wheat import duty drops to zero

    Import duties on wheat and wheaten flour dropped to zero with effect from 10 March 2021. The downward trend has continued since November 2020. On 12 February 2021, the duty dropped considerably from 54.42c per kg to 10.27c per kg and flour from 81.63c per kg to 15.41c per kg. It remains to be seen

    March 12, 2021
  • The United Sates imposes anti-dumping duties on aluminium sheet from 18 countries

    The U.S. Commerce Department issued final anti-dumping duties on common alloy aluminium sheets from 18 countries covered in the investigation. Common alloy aluminium sheet is a flat-rolled product used in building facades and truck trailer bodies to street signs. South Africa was covered in the investigation that initiated in April 2020. The US federal register indicates

    March 8, 2021
  • Wheat import duty continues to decline

    Import duties on wheat have dropped considerably from 54.42c per kg to 10.27c per kg and flour from 81.63c per kg to 15.41c per kg. This is the second decline since November 2020 and the first change in wheat and flour duties in 2021. The wheat duties are calculated using a variable tariff formula. This

    February 15, 2021
  • Acrylic resins import duty increased

    The normal customs duty on acrylic resins has increased from 10% and free of duty to 15%. Acrylic resins fall under tariff codes 3208.20.20, 3906.90.30, and 3906.90.40. The acrylic resins manufacturers, Ferro Coating Resins supported by KZN Resins and Synthetic Polymers applied for the duty increase in September 2018. The reasons for the duty increase

    December 29, 2020