Importing Steel from China to South Africa: Safeguard Duties, VAT and Landed Cost

Import duty and safeguard on steel

Sources: ITAC final determination (Government Gazette, May 2025) as notified to the WTO; Hong Kong Trade and Industry Department circular CI 969/2025; SARS tariff schedule. Covered HS lines: 7208 10, 7208 25–39/40/51–54, 7208 90, 7211 14, 7225 30, 7225 40, 7225 99, 7226 99.

The safeguard in detail — and what is exempt

The International Trade Administration Commission (ITAC) imposed the definitive safeguard after finding a 105% surge in steel imports between 2020 and 2023 — nearly half from China (22% EU, 6.7% US). Key points:

• All origins are covered, including China — this is a safeguard, not an anti-dumping duty, so it does not target one country.
• Developing-country exemption: imports from developing countries individually below 3% (or collectively below 9%) of total imports of the product are excluded. China's share is far above the threshold, so Chinese-origin flat steel pays the safeguard.
• A separate anti-dumping investigation on coil and plate imports from China, Japan and Taiwan is in progress and has proposed duties — if imposed, AD would stack on top of the safeguard. Status marked for re-verification at our next review cycle.

For wear plate buyers: NM-class plate normally classifies in 7225.40 / 7226.99 — both inside the safeguard. Plan landed cost at 10% duty + 13% safeguard + 15% VAT until May 2026, then 21% and 19% combined duty+safeguard in the following years.

The full landed-cost cascade

South African VAT is recoverable for registered importers, so the real landed-cost drivers are the 10% duty and the safeguard. Note the timing: the safeguard steps down annually, so long-term projects quoted now should model the declining schedule rather than the year-1 rate.

Documentation that matters

• Commercial invoice and packing list consistent with the BL; SARS applies reference-price scrutiny on steel imports.
• Certificate of origin: no SADC/China FTA applies to Chinese steel — a standard C/O (CCPIT) is used; it does not reduce duty.
• Mill test certificate per heat, plus material traceability — South African fabricators and the SABS environment expect full MTC documentation.
• Letter of credit / payment terms: South African banks apply exchange-control review to steel import payments; clean documentary consistency speeds this up.
• Wood packaging ISPM 15 stamping enforced at Durban, Cape Town and Gqeberha ports.

Official sources for this page

• ITAC — International Trade Administration Commission — safeguard and anti-dumping determinations
• SARS — South African Revenue Service — tariff schedule and customs rules
• the dtic — Department of Trade, Industry and Competition — trade policy announcements
• WTO Tariff Download Facility — applied MFN rates

The safeguard determination is gazetted (Notice R.6164 / Gazette 52576 and related notices); subheading coverage is confirmed with our South African customs partner before every quotation.

Change log — what moved, and when