STEEL INDUSTRY: The effect of the toxic combination of IMPORT DUTIES and AMSA's INABILITY TO SUPPLY THE STEEL DOWNSTREAM

The effect of the
toxic combination of
IMPORT DUTIES
and
AMSA’s INABILITY TO SUPPLY

THE STEEL DOWNSTREAM

Below are business responses

• Before any quotation can be done steel availability has to sourced – if steel is not available drawings have to change. The project is either completed cancelled or delayed to the point where the sourcing starts all over again. It is impossible to keep a quote valid for 3 months as required on projects.

• Our business has been affected severely! We produce automatic gate and garage door operators and have been shopping countrywide for the materials we need. This has forced the prices to skyrocket as merchants with the last remnants of these limited materials take full advantage of the situation and pump their prices up. Further costs are incurred as we are forced to buy what little we can, wherever we can, and transport the goods at tremendous costs. Plus these purchases are bought COD as we are buying from unknown suppliers thus putting an already strained manufacturing business’s cash flow under further strain. A number of our lines will be shutting down next week or so due to the shortages.

• Our business is suffering from weeks of non-supply. We have received threats by a global customer to go somewhere else. Our sales have been impacted and is slowing down desperately needed cash flow. Our business is already impacted by years of downturn thanks to ANC policies and the unnecessary lockdowns.

How is AMSA’s inability to supply the market affecting your business?
(click here to share your experience)

Regards

We are all in this together.
Privileged and challenged to be South African.