Malaysia Launches Anti-Dumping Probe On Steel Imports From China, India, Japan, And South Korea

Kuala Lumpur, August 2024 – The Ministry of Investment, Trade and Industry (MITI) of Malaysia has officially initiated an anti-dumping investigation concerning the import offlat-rolled products of iron or non-alloy steel from China, India, Japan, and South Korea. This action comes after a petition was filed by Perusahaan Sadur Timah Malaysia (Perstima) Berhad, a prominent domestic steel producer, on July 15.

In its petition, Perstima alleged that these imports, particularly flat-rolled steel products with a width of 600mm or more that are tin-plated, were being sold in the Malaysian steel market at prices significantly lower than those in the countries of origin. This pricing strategy, according to Perstima, has led to an increase in the quantity of dumped imports, causing substantial injury to Malaysia's domestic steel industry.

The MITI, upon evaluating the provided data and evidence, concluded that there was sufficient cause to begin a formal investigation. The ministry emphasized that the focus of the probe will be on determining whether these steel imports have indeed been dumped into the Malaysian market at unfairly low prices and whether such practices have inflicted material damage on the local industry.

Under the prevailing trade laws, MITI has committed to making a preliminary determination within 120 days from the commencement of the investigation. Should the findings confirm the presence of dumping and resultant injury to the domestic sector, the Malaysian government is prepared to impose provisional anti-dumping duties. These duties would aim to prevent further harm to local producers during the course of the investigation.

The anti-dumping duties, if imposed, are expected to level the playing field for domestic steel manufacturers and curb the influx of low-cost imports that threaten the viability of local production. This investigation highlights Malaysia's ongoing efforts to protect its steel industry from unfair trade practices and ensure the sustainability of its manufacturing sector in a competitive global market.

The outcome of this probe is anticipated to have significant implications for Malaysia's trade relations with the involved countries, particularly in the context of growing concerns over global trade imbalances and protectionism.

Industry stakeholders and trade partners are advised to monitor the developments of this investigation closely, as the imposition of duties could affect pricing and supply chains across the Asia-Pacific region.