Association emphasises need for sustained steel demand

The advent of the seventh administration in South Africa under a Government of National Unity, with the theme “a government united in action and purpose”, in 2024, has instilled renewed confidence in many aspects of South Africa’s economy, as business looks to government to ‘hit the ground running’ with the new configuration, says industry organisation Association of Steel Tube and Pipe Manufacturers of South Africa (ASTPM) executive director Keitumetse Moumakoe.

In that vein, the ASTPM has congratulated newly appointed Trade, Industry and Competition Minister Parks Tau and wished him well in his role.

Since ASTPMS’ formation in 1983, it has been the voice and custodian of domestic steel tube and pipe manufacturers’ interests.

At a policy level, together with key industry stakeholders such as the Department of Trade, Industry and Competition (dtic), the ASTPM membership, com- prising Augusta Steel, Hall Longmore, Macsteel Tube and Pipe, Barnes Tubing Industries, LB Pipes and Proroof Steel & Tube, have been at the forefront of initiating and implementing industrial policies relevant to the sector.

Moumakoe encourages non- member steel tube and pipe manu- facturers to join the organisation’s cause, as this would enable them to have a voice when decisions are made and allow them to actively partake in reaching the objectives of the ASTPM.

The association’s objectives include promoting the domestic use of welded carbon steel tubes and pipes; promoting localisation and its implementation; pro- moting import replacement of downstream products and promoting quid-pro-quo cooperation among members without collusion.

Meanwhile, on the demand side, the Mokolo Crocodile Water (West) River Augmentation Project Phase 2 (MCWAP 2A), commissioned under State-owned entity The Trans-Caledon Tunnel Authority (TCTA), has presented a major opportunity for South Africa’s large bore steel pipe manufacturers to leverage public infrastructure spend and use their installed manufacturing capacity, which Moumakoe believes “is more than adequate to meet the pipeline requirements of the project”.

However, while the National Treasury Designation Instruction Notes have been repealed within the Preferential Procurement Regulations 2017 and are no longer included in the Preferential Procurement Regulations 2022, the ASTPM commends national and provincial water body authorities that are committed to local procurement in steel conveyance pipes for bulk water infrastructure.

The association also commends the authorities’ strategic engagements and consultations with the ferrous metals desk within the dtic.

The ASTPM, together with its members, is currently engaged with key stakeholders in government on issues such as trade remedies, under-declarations, the lack of import parity pricing with some Southern African Development Community (SADC) members and how to curb the use of the provisions within the SADC Rules of Origin to the detriment of South Africa-based steel tube manufacturers.

This follows from the organisation identifying skewed trade practices specific to small and large bore steel tubes and pipes within the SADC trade bloc.

Steel Awards

The ASTPM is a proud sponsor of the Tubular category at the Southern African Institute for Steel Construction (Saisc) Steel Awards 2024.

ASTPM has been a sponsor at successive Steel Awards cere- monies.

The awards provide a platform where South Africa’s steel tube and pipe manufacturers are able to appreciate the ingenuity, creativity and fabrication of their manufactured products in some of the most aesthetically and technically constructed steel-based projects in South Africa.

The yearly Saisc Steel Awards also provide an opportunity for stakeholders across the industry – including engineers, fabricators, designers, architects, processors, merchants and fabricators – to present their work and be honoured for their outstanding achievements.

Source: Engineering News