The
International Trade
Administration Commission (ITAC)
is responsible for tariff
investigations, amendments, and
trade remedies in South Africa
and on behalf of SACU.
Tariff
investigations include:
Increases in
the customs duty rates in
Schedule
No. 1 Part 1 of Jacobsens. These
applications apply to all the
SACU Countries, and, if amended,
thus have the potential to
affect the import duty rates in
Botswana, Lesotho, Namibia,
Swaziland and South Africa.
Reductions in
the customs duty rates in
Schedule No. 1 Part 1. These
applications apply to all the
SACU Countries, and, if amended,
thus have the potential to
affect the import duty rates in
Botswana, Lesotho, Namibia,
Swaziland and South Africa.
Rebates of
duty on products, available in
the Southern African Customs
Union (SACU), for use in the
manufacture of goods, as
published in Schedule No. 3 Part
1, and in Schedule No. 4 of
Jacobsens. Schedule No. 3 Part 1
and Schedule No. 4 are identical
in all the SACU Countries.
Rebates of
duty on inputs used in the
manufacture of goods for export,
as published in Schedule No. 3
Part 2 and in item 470.00. These
provisions apply to all the SACU
Countries.
Refunds of
duties and drawbacks of duties
as provided for in Schedule No
5. These provisions are
identical in the all the SACU
Countries.
Trade
remedies include:
Anti-dumping
duties (in Schedule No. 2 Part 1
of Jacobsens), countervailing
duties to counteract
subsidisation in foreign
countries (in Schedule No. 2
Part 2), and safeguard duties
(Schedule No. 2 Part 3), which
are imposed as measures when a
surge of imports is threatening
to overwhelm a domestic
producer, in accordance with
domestic law and regulations and
consistent with WTO rules.
Dumping is
defined as a situation where
imported goods are being sold at
prices lower than in the country
of origin, and also causing
financial injury to domestic
producers of such goods. In
other words there should be a
demonstrated causal link between
the dumping and the injury
experienced. To remedy such
unfair pricing, ITAC may, at
times, recommend the imposition
of substantial duties on imports
or duties that are equivalent to
the dumping margin (or to the
margin of injury, if this margin
is lower).
Countervailing investigations are
conducted to determine whether
to impose countervailing duties
to protect a domestic industry
against the unfair trade
practice of proven subsidised
imports from foreign competitors
that cause material injury to a
domestic producer.
Safeguard
measures,
can be introduced to protect a
domestic industry against
unforeseen and overwhelming
foreign competition and not
necessarily against unfair
trade, like the previous two
instruments. In the WTO system,
a member may take a safeguard
action, which is, restricting
imports temporarily in the face
of a sustained increase in
imports that is causing serious
injury to the domestic producer
of like products. Safeguard
measures are universally applied
to all countries, unlike
anti-dumping and countervailing
duties that are aimed at a
specific firm or country.
Schedule No.
2 is identical in all the SACU
Countries.
ITAC has
received the following
applications concerning
amendments to the Customs Tariff
of the Southern African Customs
Union (SACU). These
applications related to:
1. Increase
in the rate of Customs Duty on
coated fine paper
Coated fine
paper is classifiable under
various subheadings of heading
No 48.10, which includes
4810.13.20, 4810.13.90,
4810.14.10, 4810.14.90,
4810.19.90 and 4810.20.90.
ITAC has
received an application from
Nampak for an increase in the
rate of duty on coated fine
paper of these subheadings from
free to the bound WTO rate of 5% ad
valorem.
Enquiries:
Manini Masithela, telephone
(012) 394 3682, fax (012) 394
4682 or e-mailmmasithela@itac.org.za and
/ or Lebogang Loate, telephone
(012) 394 3629, fax (012) 394
4629 or e-mail lloate@itac.org.za.
Representations should be
submitted by 20
September 2013.
2. Increase
in the rate of Customs duty on
roasted chicory
Roasted
chicory is classifiable in
tariff subheading 2101.30.10.
ITAC has
received an application for
Chicory SA for an increase in
the rate of customs duty on
roasted chicory from 9,2c/kg to
37% ad
valorem.
ITAC Ref
17/2013, Enquiries Ms. Barbara
Moeng, Tel.: (012) 394 3623,
fax: (012) 394 3623, or e-mailbmoeng@itac.org.za.
Representations should be
submitted by 20
September 2013. |
3. Increase
in the general rate of Customs
Duty on heat exchange units
Heat exchange
units are classifiable under
tariff subheading 8419.40.
ITAC has
received an application from GEA
Aircooled Systems for an
increase in the rate of duty on
heat exchange units from free to
the WTO bound rate of 15% ad
valorem.
ITAC Ref
47/2012, Enquiries Mr. N
Mahlalela, Tel.: (012) 394 3684
or e-mail nmahlalela@itac.org.za.
Representations should be
submitted by 20
September 2013.
4. Creation
of rebate provisions for
concentrated cranberry and
passion fruit juices, not
containing added sugar or other
sweetening matter of a Brix
value exceeding 45 for use in
the manufacture of mixtures of
fruit juices
Cranberry
juices and passion fruit juice,
both concentrated and not
containing added sugar or other
sweetening matter, of a Brix
value exceeding 45, fall in
subheadings 2009.81.10 and
2009.89.40 respectively.
ITAC has
received an application from
Ceres Fruit Juices (Pty) Ltd for
rebate facilities to be created
for these juices for use in the
manufacture of fruit juices in
tariff subheading 2009.90.10
Currently the
cranberry and fruit juices of
subheading numbers 2009.81.10
and 2009.89.40 are subject to
general and EFTA ad
valorem rates of
20%.
ITAC Ref
13/2013, Enquiries Khosi
Mzinjana, Tel.: (012) 394 366,
fax (012) 394 4664 or e-mailkmzinjana@itac.org.za.
Representations should be
submitted by 20
September 2013.
5. Reduction
of the Customs Duty on poly
vinyl butyral
Tariff
subheading 3920.91 covers poly
vinyl butyral.
ITAC has
received an application from
National Auto Glass (Pty) Ltd
for a reduction in the rate of
duty on poly vinyl butyral from
10% ad
valorem to
free.
ITAC Ref
05/2012, Enquiries Sipho
Tsabalala, Tel.: (012) 394 3739
or e-mail stsabalalala@itac.org.za or
Chris Sako, tel.: (012) 394
3669 or e-mail csako@itac.org.za.
Representations should be
submitted by 20
September 2013.
6. Amendment
of Tariff subheadings
8302.30.30, 8302.41.10 and
8302.42.10
The tariff
subheading above cover:
“- - Fittings
of iron, steel or copper,
commonly used in the manufacture
of windows, doors and door
frames (excluding window opening
mechanisms), of base metal”
“- - -
Fittings of iron, steel or
copper, commonly used in the
manufacture of windows, doors
and door frames”; and
“- - -
Fittings of iron, steel or
copper, commonly used in the
manufacture of doors and door
frames”
ITAC has
received an application from
SARS that wording of the three
subheadings be amended as
follows:
“8302.30.30 -
- Fittings of iron, steel or
copper, commonly
used in the manufacture of
windows(excluding
window opening mechanisms),
doors and door frames (excluding
window opening mechanisms), of
base metal”
“8302.41.10 -
- - Fittings of iron, steel or
copper, commonlyof
a kind used solely
or principally for in
the manufacture of windows,
doors and door
frames of
base metal”;
and
“8302.42.10 -
- - Fittings of iron, steel or
copper, commonlyof
a kind used solely
or principally for in
the manufacture of doors
and door frames of
base metal.”
The current
descriptions are misleading and
lead to tariff classification
issues which have not been
foreseen when the original
8-digit subheadings were
created.
This
amendment is proposed in order
to reduce the possible incorrect
interpretations that could lead
to costly and unnecessary
litigation when disputes arise.
ITAC Ref
18/2013, Enquiries Mr. N
Mahlalela, Tel.: (012) 394 3684
or e-mail nmahlalela@itac.org.za.
Download Notice
860 of 2013 for
more information on the reasons
for these applications.
Representations should be
submitted by 20
September 2013.
The
applications were published
under LIST 14/2013 in NOTICE
860 OF 2013 which was published
in GOVERNMENT GAZETTE 36760 OF
23 AUGUST 2013.
Customs
Tariff Application List 13/2013
was published under
Notice 745 of 2013 in
Government Gazette 36666 of 19
July 2013. |
With the
exception of certain parts of
Schedule
No. 1, such as Schedule No. 1
Part 2 (excise duties), Schedule
No. 1 Part 3 (environmental
levies) Schedule No. 1 Part 5
(fuel and road accident fund
levies), the other parts of the
tariff is amended by SARS based
on recommendations made by ITAC
resulting from the
investigations relating to
Customs Tariff Applications
received by them. The ITAC then
investigates and makes
recommendations to the Minister
of Trade and Industry, who
requests the Minister of Finance
to amend the Tariff in line with
the ITAC’s recommendations. SARS
is responsible for drafting the
notices to amend the tariff, as
well as for arranging for the
publication of the notices in
Government Gazettes.
During the annual budget speech
by the Minister of
Finance in February, it was
determined that parts of the
tariff that are not amended
resulting from
ITAC recommendations, must be
amended through proposals that
are tabled by the Minister of
Finance.
Once a year big tariff
amendments are published by SARS,
which is in line with the
commitments of South Africa and
SACU under international trade
agreements.
Under these amendments, which
are either published in November
or early in December, the import
duties on goods are reduced
under South Africa’s
international trade commitments
under existing trade agreements.
The was no
tariff amendments published
during the past week. The last
tariff amendments were published
on 16 August 2013, which related
to: |
1.
New
rebate items
620.19/104.15.07/01.01 and
620.19/104.15.08/02.01 are
inserted, with
effect from 1 September 2012,
in Part 1 C of Schedule No 6 to
allow for unfortified wine to be
used in the production of
non-alcoholic beverages under
rebate of the full excise duty.
(Notice R. 607 (6/1C/37)).
2. Note 4 in
Part 1 C of Schedule No 6 is
amended,with effect from 1
September 2012, to
ensure that manufacturers are
registered with SARS in terms of
rebate items
629.19/104.15.07/01.01 and
620.19/104.15.08/02.01. (Notice
R. 608 (6/1C/38)).
3. A number
of 8-digit subheadings are
inserted in Schedule No 1 Part 1
for statistical purposes.
(Notice R.609 (1/1/1473).
4. The anti-dumping duty on
acetaminophenol in terms of
anti-dumping duty items
206.02/2924.29/03.06 and
206.02/2924.29/05.06 are
abolished. (Notice R. 610
(2/1/350).
5. Rebate
provision (rebate item)
317.02/00.00/06.00 has been
deleted as it was duplicated.
(Notice R. 612 (3/1/697)).
The tariff
amendments were published in
Government Gazette No. 36737 of
16 August 2013 under Notices
numbers R. 607 to R. 612.
These
amendments will be sent to
Jacobsens subscribers under
cover of Supplement 1023.
Subscribe to
the Jacobsens Customs Watch or
download the latest Customs
Watch to have access to the
latest tariff and rule
amendments. |