VANDERBIJLPARK. – Rumour has it that President Jacob Zuma himself met informally with steel industry representatives over the weekend while on a formal visit to Sasolburg for Women’s Day.
If the talks in fact took place, they would represent the clearest signal yet that Government intends taking firm action to prevent a total meltdown of South Africa’s steel industry, especially in the Vaal Triangle.
A presidential spokesperson confirmed on Tuesday that President Zuma was in Sasolburg over the long weekend for Women’s Day proceedings, but could not confirm any meeting with steel industry lea-ders.
Sasolburg is across the river from the head office of ArcelorMittal SA in Vanderbijlpark and it is possible the President could have met informally at AMSA or that AMSA representatives could have met informally with him in Sasolburg.
ArcelorMittal SA spokesperson Kesebone Maema could not be reached for comment by Vaalweekblad’s printing time.
South Africa’s battered steel industry, which stares major job losses in the face unless protective measures are taken by Government against cheap Chinese steel imports.
The reported visit by President Zuma comes against the background of AMSA majority shareholder Lakshmi Mittal visiting the President personally in July and ongoing efforts to avoid job losses by AMSA CEO Paul O’Flaherty.
AMSA has indicated it may close down its Vereeniging plant with 1 200 job losses at the end of August unless import and anti-dumping protection is instituted by Government on an urgent basis.
Also prioritised to save the steel and engineering industries from implosion is localisation of steel, meaning that locally-produced steel must be used, especially in Government infrastructure development projects.
Cape Gate Vanderbijlpark has also initiated a retrenchment process that could lead to another 250 job losses in the Vaal. Additionally, Evraz Highveld has also announced up to 1200 job losses, and is already in business rescue.
* Recommendations on import and anti-dumping protection tariffs for local steel are also awaited from the International Trade Administration Commission (ITAC) to Trade and Industries Minister Rob Davies.
