Request to extend the of safeguard duties on threaded fasteners of iron or steel


The South African Fasteners Manufacture’s Association (SAFMA) applied to have the safeguard duties on set screws imported under tariff codes 7318.15.41, 7318.15.42, and 7318.16.30. The duty is currently set at 50.04%.

SAFMA  argues that if safeguard measures are removed, the recurrence of material injury observed in the original investigation period would be likely.

How safeguard duties work

Unlike anti-dumping duties, safeguard duties deal with fair trade, rather than unfair trade. If there is a sudden, sharp and unexpected surge in imports then South Africa can impose safeguard duties to offset this effect, but these duties can only be imposed for three years and have to reduce each year until they expire at the end of the third year. If a safeguard duty is extended beyond three years then we face either a claim for compensation or a legitimate act of retaliation. Compensation would typically take the form of opening our markets in other products from our trading partners, of their choice, to a similar value which will be lost because of the safeguard duties. If we refuse, then our affected trading partners can impose duties on our exports into their country to a similar value on products of their choice.

Interested parties have until 13 April to file their responses.

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