JOHANNESBURG - The Concrete Institute (TCI), representing cement producers, said on Wednesday it had applied to the International Trade Administration Commission of South Africa (ITAC) to investigate the surge in imports at low prices.
Imported cement is undercutting the industry by at least 45 percent, TCI spokesman Bryan Perrie said.
"When this is combined with unprecedented low levels of demand due to slowed economic growth, the industry is facing an existential crisis which threatens to undermine the industrial capacity of the country," he said.
Data shows that 350,441 tons of cement arrived in South Africa during the second quarter of 2019, the most since the third quarter of 2015. Imports from
Vietnam alone totalled 301,872 tons.This year to date, imports have exceed exports by over 50,000 tons.
In addition to the surge in low priced imports, TCI said a carbon tax introduced in June on the South African cement industry’s activities had increased local companies' costs.