South Africa/Iran levy scrap export taxes

Archiv – South Africa and Iran have both announced scrap export tariffs within the last few weeks. The former is introducing a tax on overseas shipments of ferrous and non-ferrous scrap to shore up supplies for its domestic industry while the Iranian government has approved a 30% tax on exports of scrap.South Africa / Iran | South Africa and Iran have both announced scrap export tariffs within the last few weeks. The former is introducing a tax on overseas shipments of ferrous and non-ferrous scrap to shore up supplies for its domestic industry while the Iranian government has approved a 30% tax on exports of scrap.
According to Johan Fourie, President of the Steel & Engineering Industries Federation of South Africa, detailed work is being undertaken by the Department of Trade & Industry and National Treasury to finalise the details of the export tariff. He notes: ’This would be a new instrument, as there are currently no export tariffs in place in South Africa. For this reason, discussions are still taking place on how to go about developing this tariff.’
In Iran, scrap traders are concerned about the prospect of a price war among the country’€™s steel manufacturers. According to a domestic steelmaker’€™s estimate, Iran has a demand for around 15 million tonnes of scrap per annum; a 50% rather than a 30% export duty would be required to prevent exports, it suggests.