03 Jul 2024
The Commission initiated an investigation to review Rebate Item 316.01/8415.90/02.06 pertaining to the manufacture of air conditioning machines identifiable for use in heavy motor vehicles.
The International Trade Administration Commission (“ITAC” or the “Commission”) considered the application in light of all the information at its disposal.
The Commission found that there are no known manufactures of air conditioning machines identifiable for use in heavy motor vehicles in the SACU region.
Furthermore, the Commission established that there was a technical error with regard to the implementation of BTT Report No. 4082. To give effect to the BTT’s recommendation, the rebate provision should had been created for air conditioning machines identifiable for use in heavy motor vehicles classifiable under tariff subheading 8415.20.
The Commission concluded that the duty relief, through the creation of the rebate provision, will result in a reduction in production costs and should improve the competitive position for local assembly of air conditioning machines for use in heavy motor vehicles.
The Commission recommended the withdrawal of Rebate Item 316.01/8415.90/02.06 that was erroneously implemented be withdrawn.
Furthermore, the Commission recommended the creation of a rebate item 316.01/8415.20/02.06 for the importation of air conditioning machines, having a rated cooling capacity exceeding 3kW, incomplete or unassembled, for the manufacture of air conditioning machines identifiable for use in heavy motor vehicles as defined in Note 1 to Rebate Item 317.0
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ISSUED BY THE INTERNATIONAL TRADE ADMINISTRATION COMMISSION OF SOUTH AFRICA