Industrial protection for the cement industry
CAPE TOWN –
A visit to PPC’s Dwaalboom cement plant in Limpopo highlighted the downturn in construction and the application to government by cement manufacturers for hefty import tariff protection of some 45percent.
A visit to PPC’s Dwaalboom cement plant in Limpopo highlighted the downturn in construction and the application to government by cement manufacturers for hefty import tariff protection of some 45percent.
Requests for industrial protection are usually made only in weak markets, and when imported product prices have rendered the locally produced product uncompetitive.
In a way, US President Donald Trump, by starting a tariff war with China, has made import protection fashionable again.
Once one country starts implementing higher import tariffs outside the World Trade Organisation, as the US has done, other countries invariably are forced to respond with their own measures.
The result is that international trade slows, and then global economic growth slows, as is currently taking place.
Source: iol.co.za
