Broadcast Type: Discussions; Tags: Canvas, Nations, Trade, South, Africa, Authorities, Home, Moved, Protect, Local, Glass, Industry, Imports, China, Recommendation, International, Trade, Administration, Commission, South, Africa, Commissioner, Itec, Unpack, Investigation, Recommendation, Apologies, Ayabonga, Cawe, Good
it eighteen twenty-three business now in power we move on now to around canvas nations trade in south africa now authorities here at home have moved on to protect local glass our industry from imports from china this was and following a recommendation trade from the international administration commission of south africa joining us and the is the commissioner at help itec to us unpack what the investigation was and how this recommendation my apologies a came i along ayabonga cawe evening is on the line good to you i i thank you so much for talking to us good good evening noluthando evening and and good evening to listeners policemen fantastic thank you so much to us let's for chatting talk about this intervention you know by our authorities see the d two i on the recommendation from itec how did we get to this point where we've decided to protect our industry thanks once again the opportunity for and old thando and once again good evening to the tuned to the listeners longer thando some contact some might be her for of the listeners in relation to instrument the of anti dumping because imagine as you would in the trade between different countries where there are features of unequal exchange this case where there and in is dumping which is a form of price discrimination where the of a product price is exported to another country below the price sold at which it would be from the country of its origin gives rise that to particular kinds of harm certainly the and anti dumping agreement the wto provides level for an instrument that authority like ourselves at itec alongside the executive authority form of the dti in the c and the ministry these are told they would have to firms assist school are visited by injury result of dumping as a to be able to respond to that and the responsible bomb of increase in the an taxes that are paid on some of these imports in order them to bring at least to a price as close to that is a comparative price taking account cost into of production selling and administrative some costs symptoms of profit and so in this case so so we're talking about windscreen and the wind screens as a value of float added product glass it was be found here considering the period between twenty nineteen twenty and twenty one that there has been dumping of these wind screens for the replacement market so these are screens that are used for safety purposes in order in automotive motor vehicles especially and those that are sold not buys of as one vehicle but those that users would be replacement last and our investigation contained report seven to in two found that there a case to was be made about dumping windscreen of of the sort coming from china ask just afrika there what are the questions that came up when i was speaking colleague about to a this earlier was well has its relationship south africa with china i'm wondering you know when if when we put on sort of some interventions like this really stop dumping you know to which we've been able to prove do that or you know bring harm to the trade relationship with them that you may have well i don't think so i think even in the process and of conducting investigation that give rise to this format sanction there is an obligation on us to in contact be with the diplomatic representatives of the of some exporting countries the people's and in this case republic of china think measures and i don't of the sort would be interpreted in any way as to this the relations at a diplomatic level that will exist between south africa and the people's republic of china far from it but i think global in a landscape of trained you would know that you know even the euro zone other parts of and many the world including china itself would institute measures of this kind certain there are things mb k chemical that anti have a dumping or similar trade defence measures against from it from south africa in china it's not only so just a one way but thing i think it does reflect the relative difference in capacity that would fit between productive and industrial the sectors of the of china people's republic as compared to south africa in the case of a capital intensive product like this when we talk about life noluthando plant you club can't switch it on an drums two hundred and sixty-five days twenty of the year four hours a day and you it only makes know sense the invested it if capital in you run it at full capacity and i think feel own sector we certainly in the class obscene demonstration of some significant overcapacity and in this instance that rise to particular is given responses from chinese exporters are who in some instances trying to costs recover invested in cases where the eff capacity supply to their domestic sector is much the demand larger than that found there you do with all so what do of this extra production and i think in many sectors especially we find those that are capital intensive that this incentive there's for exporters to at least exported at a price where they can will the costs cover irrespective of the implication might have that that an injury the domestic producers the destination in marked by financial i i ask about must quantify you know are we able to the number of jobs that we've even managed to save impact here you know the real of these sanctions for other local market what are you know who is a very integrated value chain critical to our automotive sector and its ability to continue competitive to be globally but also you know direct in terms of jobs i think to speak it might be better to the applicant shatter approved be in a position would to explain period between on that twenty nineteen twenty twenty one of nature the jobs that would have been risk but suffice at to say that if think about where we some of these plants are i mean one of the plant of approvals is out such in strong too which is not far from a place called was poor very working class community and the other only for the benefit is of many of your listeners in garankuwa as would many of your listeners know and those aren't affluent communities any stretch by of imagination poor working class communities for whom the jobs in the be sectors would indispensable to their own livelihoods also then and i think in addition to the axe what are the things that emerges seventy-two in reports is you know the applicant firm this instance has invested in so capacity in garankuwa plant the and so in a sense order to absorb in and make use capacity and of that sell it in the market post itec a for measures of this kind i think on investigation and a case has been made which has also now received the approval of the two executive authorities and the minister of ministers i should say finance and trade industry and competition where speaking to us we i thank you for often hear listeners us that government isn't tell doing anything certain things about to i think the issue of dumping it often comes up so thank much for this you so you know it's ahead been great of me so it's about motala which question would go well that was ayabonga his itec cawe chief commissioner about the speaking to us there m p anti dumping duties wind screens from on china for the replacement market there and you really just protecting glass our local industry as he says these factories a three hundred move and sixty-five days a means and you year know on christmas day on new year's day parade is something worth had infrastructure protecting with protecting and to put they've gone on a through these sanctions its eighteen thirty-one beats her river to abide