ITAC Issues Draft Revised Price Preference Guidelines for Scrap Metal

Posted 31 October 2025 Written by Acts Online
Category Trade

Brought to you by SA Legal Academy: The International Trade Administration Commission (ITAC) has published draft revised price preference guidelines governing the export of ferrous and non-ferrous waste and scrap metal for public comment.

In terms of the International Trade Administration Act, No. 71 of 2002, the proposed guidelines seek to update the Price Preference System (PPS) that has been operational since May 2013. The draft revisions follow an ITAC investigation into the South African integrated steel value chain and subsequent notices issued in April and May 2025 regarding the potential modification of discount levels.

The PPS functions as a regulatory mechanism requiring that certain categories of scrap metal be offered for sale to domestic beneficiating entities at a prescribed discount before they can be considered for export. The draft revised guidelines will determine the specific price points and discount structures at which scrap must be offered to the local market.

Stakeholders and interested parties have until 14 November 2025 to submit written representations to ITAC regarding the proposed changes. The review aims to address challenges within the domestic manufacturing sector and ensure the availability of affordable raw materials for local processors.

What this means for you, your business, or your clients

  • For yourself: No direct individual obligations; impact is channelled through professional advisory roles for industrial and trade-focused clients.
  • For your business: Firms representing scrap metal exporters must review the draft to assess how the revised discount levels will impact the commercial viability of export operations and permit applications.
  • For your clients: Local scrap metal beneficiating entities and processors should evaluate the proposed price preferences to determine the potential effect on raw material procurement costs and domestic supply security.

Originally published at https://legalacademy.co.za/news/read/scrap-metal-revised-price-preference-guidelines-out-for-comment

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