Local steel manufacturer ArcelorMittal South Africa (AMSA) has reached an agreement with the Competition Commission to divide its 2017 payment into three separate tranches of R100-million each.
In 2016, the parties reached a settlement agreement after AMSA admitted to being involved in the long steel and scrap metal cartels, and agreed to pay an administrative penalty of R1.5-billion over five years, in instalments of no less than R300-million.
The first instalment was due on November 16.
The commission took AMSA’s financial position into account, resulting from the tough trading conditions in the global and local steel industries, in considering this amendment. The revised payment terms apply only to the first year of the agreement and the next two instalments will be made on April 1, 2018 and July 1, 2018. Thereafter, the instalments will remain as agreed.