SA’s hard-pressed motorists will pay more for imported Chinese tyres for the next five years after the government imposed new anti-dumping duties on what it said were unfairly traded imports of passenger, truck and bus tyres from that country.
The International Trade Administration Commission (Itac) and the Minister of Trade, Industry & Competition, Ebrahim Patel, imposed duties of between 7.18% to 43.6% until July 2028. Itac, SA’s trade regulation body, found that tyres from China were being dumped into the Southern African Customs Union (SACU), causing material injury to the industry. Fairly traded imports from other countries will continue unaffected, it said.
The SA Tyre Manufacturers Conference (SATMC), which represents local tyre producers Continental, Bridgestone, Goodyear and Sumitomo, welcomed the decision.
“We applaud this decisive measure by Itac and the Minister, which comes as a significant victory for the domestic tyre industry,” said SATMC managing executive Nduduzo Chala. “The implementation of these final anti-dumping duties will serve to uphold fair trade practices and protect the economy against opportunistic pricing in the tyre sector, which has posed a threat to the future of the SA tyre industry.”
The SATMC said it had provided extensive data, analysis, and expertise to show the adverse effects of the dumped tyres from China.
Itac imposed temporary tariffs on Chinese tyres in September in response to the SATMC’s request, but those were lifted in March as the government deliberated on a final decision.
Imported Chinese tyres are estimated to account for more than 70% of the local truck tyre market and more than 50% of the car tyre market, according to the Tyre Importers Association of SA (Tiasa).
Tiasa didn’t respond to requests for comment on the latest duties, but has previously opposed such moves, saying they were devastating for SA motorists. The imposition of the temporary tariff in September was criticised by the trucking and taxi industries, and the AA.
The Road Freight Association (RFA) said increased duties would not only mean paying more for tyres, but also for public transport and goods.
Gavin Kelly, CEO of the RFA, said transport companies already could hardly afford ever-higher operating and fuel costs, and an increase in the cost of tyres could become the final nail in the coffin for many operators, threatening the viability of the country’s road freight logistics sector.
“This will have a knock-on effect as over 80% of SA’s food, medicines, fuel and many other goods are transported by road, so rising costs have an impact on every single item transported to and across SA,” Kelly said.
The taxi industry said it would be forced to pass on the increased costs to consumers as tyres were the third-biggest cost after wages and fuel.
The AA said that already embattled consumers would balk at paying higher prices for tyres and would continue using tyres that are in a poor condition because they could not afford the new prices.
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