Open Serve, a Division of Telkom SA SOC Ltd applied for the creation of a rebate provision for the importation of optic fibre cables and electrical apparatus used in the international submarine optic fibre cable infrastructure. It covers items classifiable under tariff subheadings 8544.70 and 8536.90.90, respectively.
The International Trade Administration Commission (“ITAC” or the “Commission”) considered all the relevant information available at its disposal. In particular, the Commission considered the following factors:
• The subject products are not manufactured locally. As such, the applicable customs duty has an unnecessary cost-raising effect on the maintenance of the international submarine optic fibre cable infrastructure;
• A duty relief, through the creation of a rebate provision, will result in a reduction in the maintenance costs of the international submarine optic fibre cable infrastructure;
• The rebate provision will be made subject to an ITAC permit issued in terms of guidelines, rules and conditions.
In light of the foregoing, the Commission recommended the creation of a rebate provision for the importation of optic fibre cables and electrical apparatus used in the international submarine optic fibre cable infrastructure, as follows:
• Optic fibre cables, classifiable in tariff subheading 8544.70, for use in international submarine optic fibre cable infrastructure, at such times and in such quantities and subject to such conditions as the International Trade Administration Commission may allow by specific permit, provided that optic fibre cables are not available in the SACU market; and
• Electrical apparatus for making connections to or in electrical circuits, for a voltage not exceeding 1000 volts, other, classifiable in tariff subheading 8536.90.90, for use in international submarine optic fibre cable infrastructure, at such times and in such quantities and subject to such conditions as the International Trade Administration Commission may allow by specific permit, provided that optic fibre cables are not available in the SACU market.
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