Bravo Group Manufacturing brought an application for a rebate of the duty of 22% on on tariff heading 60.05 for warp knit fabrics used in the manufacture of upholstered furniture classifiable under tariff subheadings 9401.61 and 9401.71, by way of an import permit issued by ITAC.
This would be a temporary rebate, making the rebate valid only for as long as ITAC agrees to issue the permit (typically while there is not local manufacture of the product).
Reasons for the rebate application
Bravo provided the following reasons for the application:
- The furniture manufacturing industry faces growing input costs in the manufacture of lounge furniture, which exceed normal Consumer Price Index (“CPI”), which makes it challenging for the industry to manufacture on a sustainable basis.
- The input subject material is currently not manufactured domestically and thus the possible relief of the input cost will enable the industry to maintain and grow employment and remain competitive in the SACU industry, competing amongst other with imported products from the East
Interested parties have until 21 September 2020 to submit comments to ITAC.
Need to know more about how temporary rebates work? Contact us on firstname.lastname@example.org