Steel Safeguard Duties: 13% Today, 9% by 2027

Author:

South Africa is rolling out a phased plan for safeguard duties on certain hot-rolled steel products—starting with a 13% duty as of 2 May 2025, then reducing it to 11% in 2026, and finally to 9% in 2027.

Step 1: 13% Duty Starts (2 May 2025 – 1 May 2026)

As of 2 May 2025, a 13% safeguard duty is in effect on a range of hot-rolled steel imports, specifically under tariff subheadings 7208.10, 7208.25 to 7208.38. This duty, published in Notice R.6164 (Gazette No. 52576), came after the International Trade Administration Commission (ITAC) confirmed serious injury to the local steel industry due to a surge in cheap imports.

This temporary measure is meant to give local steelmakers room to recover, stabilise production, and protect jobs, especially in the face of strong international competition.

Step 2: Duty Drops to 11% (2 May 2026 – 1 May 2027)

One year later, the government starts easing the pressure. From 2 May 2026, safeguard duties on hot-rolled steel in coils (tariff codes 7208.25–.39) are reduced from 13% to 11%, as outlined in Notice R.6165. This change reflects improved market conditions and will remain effective until 1 May 2027.

Step 3: Further Reduction to 9% (2 May 2027 – 1 May 2028)

The final reduction in this phased strategy takes place from 2 May 2027, when duties on tariff codes 7208.90 and 7211.19 are cut from 11% to 9%, per Notice R.6166. This lower rate runs through to 1 May 2028.

What’s Behind the Reductions?

Safeguard duties may only be imposed for a period of three years and must reduce each year, dropping to zero at the end of the third year, hence the reductions.

Questions about how this affects your business?
Contact us at info@xagta.com for guidance.


share this post:

Facebook
Twitter
LinkedIn