Govt’s investigation found that such imported products have caused ‘material injury’ to domestic market
by AFIQ AZIZ / Pic by BLOOMBERG
MALAYSIA will impose provisional anti-dumping tax on steel products from Indonesia and Vietnam.
Putrajaya’s preliminary investigation found that such imported products have been dumped into the country, causing “material injury” to the domestic market.
In a statement yesterday, the International Trade and Industry Ministry (MITI) said the duties will range from 7.73% to 34.82%, and are applicable on imports of subject merchandise from the alleged countries.
MITI said the concerned steel products are cold-rolled stainless steel in coils, sheets and other forms (subject merchandise).
“The government has found that there is sufficient evidence to further investigate the importation of subject merchandise from the alleged countries.
“The government, therefore, has decided to impose a provisional measure, which shall be in the form of provisional anti-dumping duties guaranteed by a security equivalent to the amount of the dumping margins determined in the preliminary determination,” the ministry said.
“The duties shall be effective not more than 120 days from Dec 26, 2020,” it added.
MITI has earlier initiated the antidumping investigation on July 28, 2020, in accordance with Countervailing and AntiDumping Duties Act 1993 and Countervailing and Anti-Dumping Duties Regulation 1994, based on a petition filed by Bahru Stainless Sdn Bhd.
Bahru Stainless, which is the sole domestic industry producing the like product, has claimed that imports of subject merchandise from the alleged countries at a price lower than the selling price in their domestic market is causing material injury to the domestic industry in Malaysia.
MITI said a final determination of the matter will be made latest by April 23, 2021.
As such, interested parties, such as importers, foreign producers, exporters and associations related to the investigation can access the non-confidential version of the report on the preliminary determination by submitting a written request to the ministry.
Last week, Bernama reported that MITI has decided to impose definitive anti-dumping duties on the importation of flat-rolled product of non-alloy steel-plated or coated with aluminium and zinc from China, South Korea and Vietnam for a period of five years, beginning Dec 12, 2020.
The duties on flat-rolled products of non-alloy steel plated or coated with aluminium and zinc came after an anti-dumping investigation was carried out on behalf of the domestic industry, the ministry said.
The investigation found that “the subject merchandise is being imported into Malaysia at a price lower than the selling price in the alleged countries”.
The Royal Malaysian Customs Department will enforce the collection of the anti-dumping duties, adding that the move is expected to address the issue of unfair trade practices, MITI said.
The move saw steel stocks like Malaysia Steel Works (KL) Bhd surged by 35% or 18.5 sen to 72 sen, while Lion Industries Corp Bhd rose 11 sen or 17% to 74 sen.
Melewar Industrial Group Bhd soared 75% or 25 sen to 58.5 sen.