NEWS
Saving solutions for
strained steel industry
The Department of Trade and Industry (dti) reports government’s
commitment to work with the steel industry to save jobs and is
mobilising to save the industry from collapsing.
r S
Government dedicates effort and resources towards saving the steel sector from collapsing.
A
ccording to dti officials, the
department has put in place
measures to assist the entire value
chain in the industry.
“Both demand and supply measures
have been deployed to assist the entire
value chain to cope with the global steel
glut,” says dti capital equipment and metals
chief director, Thandi Phele. “Government
has also established a R1.5-billion steel
development fund to support key
downstream steel sectors and sub sectors,”
adds Phele.
4
AUGUST 2018
CLADDING // CONCRETE // INSULATION // STEEL // THATCH // TIMBER // TRANSLUCENT // WATERPROOFING // COMPONENTS
Acting chief director of primary minerals
processing Dr Umeesha Naidoo says
government has established a task team
which has intervened to save the steel
industry from threat of closure and loss of
capacity since the 2015 crisis began. The
task team comprises officials from the dti,
Department of Economic Development,
National Treasury and the Industrial
Development Corporation.
“Following the establishment of the task
team, there are numerous short- to medium-
term measures that have been put in place
to support the steel industry. These include
an increase in the general rate of customs
duty on primary steel products to 10% and
safeguard measures for a period of three
years on hot rolled coil and plate products.
“There are also tariff increases on a
range of downstream products and the
deployment of rebates where primary steel
products are not locally manufactured.
Tariff increases are part of an integrated set
of measures being deployed to respond to
the challenges and support the industry as
a whole,” says Naidoo.