The International Trade Administration Commission of South Africa (Itac) has provided an update on an investigation it is leading into the alleged dumping of new pneumatic rubber tyres used in motor cars and on buses and lorries, originating in or imported from China.
Itac gazetted a notice of the investigation in January.
The application was lodged by the South African Tyres Manufacturers Conference (SATMC), representing its members – Bridgestone, Continental, Goodyear and Sumitomo.
These firms account for all domestic production of these products in the Southern African Customs Union (Sacu) region.
The investigation was initiated after Itac determined that there was prima facie evidence that the products were being imported into Sacu at dumped prices, causing material injury and threatening to cause material injury to industry in the Sacu region.
Following consideration of the responses and comments received from interested parties, the commission made a preliminary determination, informed by Section 33.2 of South Africa’s Anti-Dumping Regulations.
This provision empowers the commission to request the Commissioner of the South African Revenue Service (Sars) to impose provisional duties, to prevent further injury to Sacu.
Itac requested the Sars Commissioner to impose provisional payments for a period of six months, protecting the domestic industry, while an investigation was being finalised.
Sars imposed the provisional duties in line with Section 57 of the Customs and Excise Act.
The provisional measures were imposed from September 9 until March 8. The provisional measures therefore expired this week and importers of the products in question may apply to Sars for a refund of any duties paid, as the investigation has not yet been finalised. The investigation is still ongoing.
Once the investigation has been finalised, Itac, after considering the proposed final determination, will make a recommendation to South Africa’s Trade, Industry and Competition Minister, who may either accept, reject or refer the commission’s recommendation back for further investigation.
The investigation is currently at an advanced stage and is expected to be completed before July 29, Itac says.