South African trade authorities proposed wide-ranging increases in tariffs on steel imports in an attempt to provide safeguards as an “unprecedented emergency” batters the nation’s industry.

The move by the Inter­na­tional Trade Admin­is­tra­tion Com­mis­sion of South Africa (Itac) came after the con­clu­sion of its biggest steel tar­iff review in 20 years, which covered about R67bn worth of imports.

South Africa has set higher import duties on certain steel products, ranging from 10% to 30%, to defend the struggling industry in the face ​of weak demand and rising imports led by China.

South Africa’s steel industry is facing an “emergency situation” caused by global overcapacity, rising imports and collapsing domestic production, prompting government to introduce sweeping tariff, rebate and import-control measures aimed at protecting local manufacturers.

The International Trade Administration Commission of South Africa (Itac) has recommended an increase in the customs duty on specific polymer-based pipes and hoses. Customs duty on seamless, multi-layered pipes with and without fittings will rise from 15% to 20% ad valorem, with new eight-digit tariff subheadings created for clarity, ITAC says. 

The key to rescuing South Africa’s ailing steel industry, in which a unit of ArcelorMittal is feuding with smaller competitors, is by growing demand rather than fixating on export controls, the country’s chief trade regulator said.