Trump tariffs to further hammer SA's crippled steel and aluminium sector
A R3.4-billion loss is what South Africa's steel and aluminium industry stands to incur after US President Donald Trump rejected the country's bid to be exempted from steel and aluminium tariff hikes. Moreover, an estimated 7 500 workers could lose their jobs in the steel industry. Globally, Trump's tariffs are seen as a move that could provoke a trade war with China. The tariff hike on South Africa, which takes effect onJune 1, is meant to protect the US market from the glut in steel supply in favour of its own industry. This will put further strain on the steel industry in South Africa, which has been in a slump for the past few years. The boom days of the 2010 Soccer World Cup are a distant memory.Steel demand has dropped significantly, in line with South Africa's stalled infrastructure growth programme and economic growth slowdown. Michael Ade, the chief economist at the Steel and Engineering Industries Federation of Southern Africa, said the US's rejection of South Africa's app...
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