Customs

Sanitary Ware Rebate – Tariff Application

On 22 November 2013 the International Trade Administration Commission (Itac) published a notice proposing the creation of rebate of the full customs duty on other plates, sheet, foil and strips of poly (methyl methacrylate) non-cellular and not reinforced, laminated supported or similar combined with other materials, classifiable in tariff subheading 3920.51 for the manufacturer of sanitary ware, of plastics classifiable in tariff heading 39.22. The application was lodged by Libra Bathrooms (Pty) Ltd who reasoned that there are no local manufacturers of the subject products since the sole manufacturer, Perspex SA (Pty) Ltd, stopped production in 2012. Libra Bathrooms has made annual losses for the past years. The current import duty of 10% ad valorem on the main raw materials makes it difficult to compete with low-priced imports from eastern countries. The 10% import duty on main raw material makes it very difficult to compete with low-priced imports from the Eastern countries which are also gaining substantial market share each year. High investment and jobs are at risk if Libra Bathrooms cannot become profitable. Comment is due by 20 December 2013.

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