The International Trade Administration Commission of South Africa (ITAC) has published a preliminary determination proposing changes to import tariff structures across the renewable energy value chain, including a potential 15% duty on fully assembled lithium-ion batteries.
The proposals, published in a Government Gazette notice, are part of a broader review covering input materials, components and final goods in the renewable energy value chain. Among the measures under consideration is the introduction of import duties of up to World Trade Organization-bound rates on selected inputs and finished products.
ITAC has also proposed the designation of certain components for local procurement requirements, including solar photovoltaic (PV) panels, inverters, trackers and tower sections in line with the Public Procurement Act of 2024. In addition, the commission has indicated that existing rebate provisions linked to local manufacturing thresholds may be phased out with the solar PV rebate to be discontinued once domestic assembly reaches 50% of demand.
The review follows earlier regulatory adjustments affecting renewable energy imports, including new rebate guidelines that introduced additional requirements for solar panel imports.
ITAC said it received more than 45 submissions from stakeholders during the review process, including requests for duty increases, changes to import controls and the designation of products for local content requirements. The commission also indicated that certain components may be excluded from staged consignment provisions where local manufacturing capacity exists.
The proposed 15% tariff would apply to fully assembled lithium-ion batteries. ITAC stated that the review is intended to balance the development of a domestic renewable energy manufacturing base with continued investment in generation capacity.
