On 20 April 2018, ITAC published a second duty increase investigation initiation gazette on phosphoric and polyphosphoric acid classified under tariff subheading 2809.20.10.
The duty increase investigation was previously initiated on 16 February 2018. If you want to know the reasons for the duty increase investigation click here.
The second initiation gazette was published because the first initiation gazette indicated that the products under investigation are classified under 2809.20. Nevertheless, on 1 January 2018, new tariff subheadings were gazetted by SARS. Tariff subheading 2809.20 was split into two codes which are:
- 2809.20.10 (products under investigation are classified in this tariff subheading)
- 2809.20.90 (products under this tariff code are not covered in the investigation)
If you want to know the importance of splitting tariff codes click here. The re-initiation will assist in avoiding confusion with regards to the exact tariff subheading and products under investigation. Importantly, from a procedural point of view this will avoid ITAC’s decision being challenged in Court when the duty is increased.
Interested parties have until 4 May 2018 to respond to the duty increase application.