South Africans could benefit from cheaper monitor prices after a recent change to import tariffs.
Towards the end of last year, the International Trade Administration Commission of SA (ITAC) published a report that recommends a tax rebate for some monitors. The commission says it aims to encourage local manufacture of screens with any side longer than 45cm.
According to the new tariffs, screens brought in that require assembly will qualify for a rebate on tax.
Darryl Squara, GM of Tarsus' Samsung business, explains that the bulk of the duties on monitors are the same as under the previous regime, unless they are brought in either fully of semi-knocked-down.
Squara says the difference in the new tariff codes is that ITAC states that manufacturers and brands can bring in complete knock-down (CKD) or semi-knock-down (SKD) monitors at a lower tax rate.
If manufacturers bring in monitors that are either in complete component or semi-component form, they may be eligible for rebates, says Squara. Manufacturers bringing in SKD screens get 12.2% off the full duty, and CKD monitors are eligible for a full rebate.
Squara says this could benefit consumers because producers can implement an assembly facility to take advantage of the rebate, allowing them to offer monitors for cheaper than fully-imported brands.
ITAC says the major firms active in producing monitors in the Southern African Customs Union are PVision, Samsung Electronics, LG Electronics SA, Toshiba SA, Sharp Electronics SA, NEC, Panasonic SA, Mustek, Acer and NenQ SA.
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