On 28 February the International Trade Administration Commission of South Africa (Itac) announced the proposed reduction in ‘general’ rate of customs duty on air conditioning machines comprising motor-driven fan and elements, including those machines on which humidity cannot be separately regulated, of a kind designed to be fixed to a window wall, ceiling or floor, self-contained or a split system used for buildings, compressor operated, having a rated cooling capacity not exceeding 8.8 kilowatts, classifiable in tariff subheading 8415.10.10, to free of duty.
The application was lodged by Imperial Air Conditioning (Pty) Ltd who reasoned that there are currently no Southern African Customs Union (Sacu) manufacturers or assemblers of the subject product, and the duty levied does not protect the Sacu market but imposes an unnecessary cost-raising effect on the selling price.
Comment is due by 27 March 2020.
Story by: Riaan de Lange