Posted on 02 Mar 2023
Saudi Arabia's Zakat, Tax and Customs Authority (ZATCA) website shows the kingdom’s customs duties for all steel products have been reduced significantly, leaving local market participants puzzled, Kallanish notes.
On 1 March, clearing agents informed hot rolled coil and billet importers that HRC and billet import duty has been reduced each to 5% from 15% and 10%, respectively.
When the parties wanted to elaborate on the reduction, they received conflicting news and the authorities told them it could be a system error.
"I was shocked when my clearing agent told me the customs duty for HRC was reduced to 5% from 15%,” comments a buy-side source who then proceeded to verify this on the ZATCA website. “If this is not a system error but a deliberate policy change, then imports will flow into the country," he adds.
The customs duty amendment could not be clarified until press time, and no official announcement was made.
Source:Kallanish
