THE BEST OF THE GPS E-NEWSLETTER
Each month Sassda rounds up a selection of global and local market intelligence articles that are sent to our members in an easy-to-read package of content. They’re designed to highlight pockets of potential growth in demand for stainless steel. Here are some of the best articles from the last few issues...
Competition Commission launches inquiry into local steel market
The Competition Commission has gazetted the draft terms of reference for a new market inquiry into the local steel industry. The inquiry will examine whether there are any features or a combination of features in its value chain that impede, distort, or restrict competition in the sector. The inquiry will be confined to only two levels of the steel value chain - the raw materials and inputs, and the upstream steel production level. In addition, the inquiry will focus on the impact of these levels of the value chain on the domestic downstream steel market...
New R30-Billion ‘mega city’ planned for South Africa
Citigroup Inc. is teaming up with South Africa’s Gauteng provincial administration to fund almost R1.4-Billion of investment in a new mega-city project and airport south of Johannesburg. The development will include an airport, an industrial area, a city, and agricultural areas. The US lender, through its South African unit, will make a seven-year loan facility available to a special purpose vehicle that will directly invest in infrastructure for the Mega River City on the banks of the Vaal River, Citi South Africa head Peter Taylor said. The development could attract as much as R30-Billion in additional investment, he said...
Construction mafia damage to the economy is worse than the government thinks
The construction industry’s losses to marauding mafias are higher than what the government estimates them to be, SA Forum Civil Engineering Contractors (Safcec) estimates show. At a recent webinar, Public Works and Infrastructure Minister Sihle Zikalala cited a report that the industry had lost R63-Billion to criminal disruptions since 2019, but the Safcec estimates put the figure at R63-Billion for 2018/19 only. In addition, Safcec estimates that in January 2020 losses for that year alone would amount to R40.7-Billion...
Government takes R2.7-Billion stake in one of South Africa’s newest & fastest-growing cities
The government, through the Public Investment Corporation (PIC), is set to acquire a 30% stake in Waterfall City for R2.7-Billion, after signing a binding agreement with developer Attacq this week. The PIC and the Attacq Waterfall Investment Corporation (AWIC) have concluded binding legal agreements, detailing the terms and conditions of the proposed transaction. The newly developed city, which is home to Mall of Africa, the PwC tower, and a host of other new residences and office developments, is one of the fastest growing precincts in the country...
A hydrogen economy may fuel a more solid development drive in Southern Africa
Southern Africa’s energy sector, including Namibia and South Africa, is exploring the potential benefits of embracing a hydrogen economy, primarily driven by green hydrogen, a clean and natural energy source. Recent interest in this arises from the global push for sustainable energy options. Green hydrogen can be produced by electrolysing water into hydrogen and oxygen using energy from green sources like the sun, water, and wind. This process is deemed “green” because it does not make greenhouse gases. When hydrogen fuel is burned, it turns into water instead of carbon dioxide, as happens when fossil fuel is burned. Of particular value in the move towards a sustainable energy system, green hydrogen can be used in hard-to-decarbonise areas like heavy industry and transportation...
Stainless steel tubes and pipes benefit from high growth industries
The current economic uncertainty has left the tube, pipes, and fittings sector relatively unscathed. Overall, the post-COVID economic recovery – though weak because of inflation and the ongoing war in Ukraine – provides a positive environment, with certain regions and sectors driving growth. The global stainless-steel tubes and pipes market, estimated at $32-Billion in 2021, is anticipated to grow to $44.7-Billion in 2028, with an annual compound growth of 4.6% (1) ...
Government finalising big change for SA business
Trade and Industry Minister Ebrahim Patel says his department will finalise the Companies Amendment Bill in Cabinet within three months, which aims to narrow the gap between the highest-paid and lowest-paid employees at listed companies. The proposed Bill, published for public comment in 2021, said that listed companies would have to disclose the ratio of the top-paid to the bottom-paid 5% of workers. Speaking before Parliament, Patel said that finalising the Bill will help to address South Africa’s inequality issues.
R200-Million boost for Cape Town’s economic sector development
The Cape Town City’s Council-approved budget for 2023/24 has allocated close to R200-Million on various programmes aimed at assisting all sectors and levels of the economy, from work seekers, entrepreneurs, small business, and high growth sectors. In addition, the Economic Growth Directorate is planning on spending around R100-Million on capital works on the city’s strategic economic assets and informal trading infrastructure…
Durban port partially privatised
Africa’s biggest harbour will be partly owned and operated by the Philippines’ International Container Terminal Services Inc., a first for South Africa’s national ports company. The company, ICTSI, has been selected as an equity partner to run and expand Durban Container Terminal Pier 2. Almost three-quarters of the freight volume moved through the eastern port goes through the terminal, accounting for 46% of South Africa’s total port traffic, according to state logistics company Transnet...